States push for long-term reforms in hydropower

Power Minister R K Singh says coal shortage is acute, gives nod for import

In water-scarce Shimla, where energy ministers from across India flew to discuss woes of the power sector, the host state pushed for immediate and longterm reforms in hydropower and demanded that it be given the same status and priority as solar power. The proposal was backed by hydro-rich states.

“For years, the people of Himachal have given their land and labour for growth of hydropower in the state, but they have not been duly compensated yet. The pain of displacement from their ancestral land still exists. We urge the central agencies to expedite the compensation process,” Jai Ram Thakur, chief minister of Himachal Pradesh, said. Speaking at the bi-annual State Power Ministers’ Conference on Tuesday, Thakur said his state had a potential of 27,000 megawatts (MW) of hydropower generation, of which the state government had installed 653 MW due to resource constraints.

“Hydropower should get the same priority as solar. The sector needs ‘Hydro Purchase Obligation’ for assured off-take of power, and medium-term sale of hydropower. Giving the renewable status to hydro is the need of the hour and we urge the Centre to look into these demands,” he said. The thermal

All advanced countries are exhausting their hydro capacity. In the past few years, hydro projects have been stalled because of that (protests) and geological challenges. Hydropower then becomes costly R K SINGH, Power minister

power sector is facing coal shortage. So, there is a need for rapid increase in renewable capacity, ‘balancing power’ to maintain grid balance.

Union Power Minister R K Singh said the new hydro policy would come soon. India does not count hydropower as renewable, except for plants below 50 MW. “All advanced countries are exhausting their hydro capacity. In the past few years, hydro projects have been stalled because of that (protests) and geological challenges. The hydropower (because of delay in commissioning of projects) then becomes costly,” he said.

The minister said the new policy would suggest ways to bring down capital cost of hydropower projects. There is a proposal to stop free power sale for 10-12 years.

Agreeing to the need of balancing power, Singh acknowledged the acute shortage of coal. “The demand for power has increased and it shows signs of economic growth. Coal will continue to be a problem for another two to three years as mining and clearances takes time. So, we have asked all the states to import coal if they face any shortage,” he said.

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