Post on 21-Jul-2015
Introduction
• Over 97,000 MW of the country’s total hydro potential remains untapped.
• Hydro capacity addition has steadily declines ,even after states have encouraged the private participation.
Ifs and buts
Benefits
Minimum Cost volatility
Economics of scale
Clean power generation
But
Stringent environmental norms
Poor infrastructure support
Growing development challenges
Status2010-2011
10% growth Good Monsoon
• 1,181 MW Addition
• 60%Northern &
Southern
• Generation Fall per MW
• 3.97MUs(94-95) to 2.96 (10-11)Industry Report
Dec 2011617
Units177
stations38,748
MW
Performance of HYDRO power plants depends
Seasonal Variation
Water Flow (Depletion in river flow due to Silting)
Variable demand
Plant performance & Poor Maintenance
Environmental & Forest clearance
Lack of Policy clarity on potential site
Development Facts
• Jaiprakash Power Ventures Limited’s commissioned 1,000 MW in Karcham Wangtoo .
7,000 MW Shifting
11th 12th plan
4.32%
2009-10 39 MW
Growth
2003-04 2010-11
Hydro Power Generations
0
2000
4000
6000
8000
10000
12000
14000
16000
18000
20000
April May June July August Sep Oct Nov Dec
Actual
Target
State initiatives :To promote private participation
Himachal Pradesh
J & K
Arunachal Pradesh
Sikkim
Uttarakhand
Mizoram
Playing with Policies
• Policy criteria to allocate the capacities have been mostly based on :
• Upfront premium
• Share of free power
• Joint ventures
• Majorly allotted under Build-own-operate-transfer model.
• Mizoram sought viability gap funding from the union government under a PPP model .
But……………
• But J&K under Water Resource Act,2010 impose a tax on NHPC of Rs.1.5 billion for using water.
• Soon Himachal Pradesh also introducing HP electricity (Taxation of generation) Bill .
And…………….
• NTPC ‘s 600 MW Loharinagpala project was scrapped due to local & religious issues.
• Due to delayed environmental clearances AP’s 3,000 MW Dibang project recorded cost escalations of up to Rs 25 billion.
• ADB & WB are encouraging state governments to adopt practices such as comprehensive social and economic planning for projects.
Upcoming capacity
Currently Execution 15,000 MW
12th plan Capacity Addition
20,334 MW
102 projects 30,193 MWEvaluated for commercial
viability ¾ in AP only
Untapped Hydro Capacity (CEA)
45,000
12,00010,500
7,000
2,100 2,000 1,800 1,780 1,2000
5,000
10,000
15,000
20,000
25,000
30,000
35,000
40,000
45,000
50,000
AP UK J&K HP KT WB CG MZ Other
Capacity
Capacity