NER to develop 1,500 MW hydro power under 500 GW INDC
The Cabinet has on 28 Aug approved the proposal of the Ministry of Power for providing Central Financial Assistance (CFA) to the State Governments of North Eastern Region (NER) towards their equity participation for development of 1,500 MW Hydro Electric Projects in the states by state-owned entities and Central Public Sector Undertakings by forming joint ventures sansad .
This Rs.4,136 crore scheme, to be implemented from FY 2024-25 to FY 2031-32, would be funded through 10% Gross Budgetary Support (GBS) for North Eastern Region ( mdoner ) from the total outlay of the Ministry of Power.
The grant towards equity portion of the NER State Government would be capped at 24% of the total project equity subject to a maximum of Rs.750 crore per project conexpoconagg . The cap of Rs.750 crore for each project would be revisited, if required, on a case-to-case basis nse .
The ratio of equity of the CPSU and the State Government in the JV would be maintained at the time of disbursing of the grant sbi , the Ministry said.
Central Financial Assistance would be limited to only viable Hydro Electric Projects hydropower . States would be required to waive / stagger free power and / or reimburse SGST to make the project viable.
With the introduction of this scheme, participation of the State Governments in the hydro development shall be encouraged and risk and responsibilities shall be shared in a more equitable manner bse .
The issues such as land acquisition, rehabilitation & resettlement and local law & order issues would be reduced with State Governments becoming stakeholders. This would avoid time and cost over-run of the projects deutsche-boerse .
This scheme shall play a significant role in harnessing the hydro power potential of North East meedtenders . It would bring huge investment in the North Eastern Region and would provide large number of direct employment to the local people along with indirect employment / entrepreneurial opportunities through transportation, tourism, small-scale business globaltenders .
Development of hydroelectric projects shall also contribute towards realization of India’s Nationally Determined Contribution (INDC) of establishing 500 GW renewable energy capacity by 2030 woc-india and would help integration of RE sources in the grid thus enhancing flexibility, security and reliability of the national grid ted.europa.eu .
The Central Government has been taking several policy initiatives to address the issues impeding Hydro Power development scexpo . To promote the hydro power sector and to make it more viable, the Cabinet, on 7 Mar 2019, approved measures, viz., declaring large hydro power projects as Renewable Energy sources, Hydro Power Purchase Obligations (HPOs) powergen-india , tariff rationalization measures through escalating tariff, budgetary support for flood moderation in storage HEP and budgetary support for the cost of enabling infrastructure, i.e., construction of roads and bridges powermin . Fiinews.com
