Future of Hydro Power

Development in India

M M MADAN

President (Hydro Business)

Jindal Power Ltd

BASIN - WISE HYDRO POWER POTENTIAL

IN INDIA

2

BASIN / RIVER Probable Installed

Capacity (MW)

Indus 33,028

Ganga 20,252

Central Indian Rivers 3,868

West Flowing Rivers 8,997

East Flowing Rivers 13,775

Brahmaputra 65,400

TOTAL 145,320

Region wise Hydro Potential Vs Installed Capacity

52263

8131 15890

10680

58356

145320

15995(30%)

7447(91%) 11398(72%)

4113 (38%) 1242 (2%)

40195.4

0

20000

40000

60000

80000

100000

120000

140000

160000

Northern Western Southern Eastern North-Eastern TOTAL

Identified Capacity Developed Capacity

REGIONS

Cap

ac

ity (

in

MW

)

As on 28.02.2014

Hydro Power in India

• Presently, in India, the generating installed

capacity is only about 27.6% of hydropower

potential i.e. 40,195 MW.

• The percentage of Hydro with respect to Thermal

has come down from 45% in 1970 to 18 % in 2013.

• To have a balance in base load and peaking load it

is desirable to have an ideal Hydro : Thermal ratio

of 40:60.

• This ratio is required for efficient operation of all

types of plants.

4

65.1

4

58.8

1

54.3

2

54.4

1

54.3

6

57

57.7

5 63.4

7 68.7

7

69.5

2

71.8

7

72.6

3

73.2

7

72.6

0

71.9

9

71.9

7

72.1

1

70.7

6

70.6

0

69.7

8

69.0

5

69.6

6

69.5

7

71.2

1

72.7

1

75.0

1

77.3

9

34.8

6 4

1.4

9

45.6

8

45.5

9

41.8

40.6

40.0

2

33.9

6

28.7

7

27.9

9

25.5

1

24.8

4

24.3

2

24.6

3

25.2

5

25.4

25.3

3

26.7

7

27.0

0

27.3

7

27.8

2

27.2

2

27.3

7

25.6

2

24.2

1

22.2

6

20.1

7

3.8

4

2.4

2.2

5

2.5

7

2.4

6

2.5

9

2.6

2

2.5

3

2.4

1

2.7

7

2.7

6

2.6

3

2.5

6

2.4

7

2.4

0

2.8

5

3.1

3

3.1

2

3.0

6

3.1

7

3.0

8

2.7

3

2.4

4

0

10

20

30

40

50

60

70

80

90 1

st

2nd

3rd

3 A

nnual

s

4th

5th

Annual

6th

7th

Annual

s 9

1-9

2,9

2-9

3

8th

19

97

-98

19

98

-99

19

99

-20

00

20

00

-01

20

01

-02

20

02

-03

20

03

-04

20

04

-05

20

05

-06

20

06

-07

20

07

-08

20

08

-09

20

09

-10

20

10

-11

20

11

-12

20

12

-13

PE

RC

EN

TA

GE

PLAN

TREND OF CAPACITY ADDITION AS % OF TOTAL

THERMAL

HYDRO

NUCLEAR

The Widening Gap

Advantages vs Challenges in Hydro

Power Development

1. Although there are many advantages of Hydro Power

but the Challenges are creating all the advantages

into disadvantages.

2. The advantages and challenges have been discussed

many times at many forums and regularly but ground

level solutions are not implemented effectively.

3. I will mention only few major challenges which are

creating obstructions in the development process of

Hydro Power and Private developers are losing

confidence.

6

4. Forest clearance is a long and tedious process and

clearance is given after a lot of expenditure has

been incurred by the developer.

5. Uncertainty always remains as the project may be

rejected on the ground of of number of trees which

are likely to be felled.

6. Changes in the conditions of TOR for requiring

additional release of Environment Flow.

7. Stopping of under construction projects- for Example

Uttarakhand Hydro projects and Lower Subansiri

Hydro Power Projects.- lose of investors confidence.

7

Challenges in Hydro Power Development

8. Lack of adequate infrastructure – roads, rail, river

ports for transportation of construction material and

power equipment to remote locations- specially in

Arunachal Pradesh.

9. Issues in Evacuation of power from remote generation

sites of Arunachal Pradesh.

10.Study of Carrying capacity and cumulative study of

River Basins after DRP approval.

11.Double payment of land cost- specially in Arunachal

Pradesh where there are no land records and

payment to locals as well as forest department is

made at very high rates.

12.Non declaration by state Govt about the project lying

in wild life sanctuary.

8

Challenges in Hydro Power Development

Land acquisition

• Consent of 80 per cent of landowners required in

case of land acquired by private companies and 70

per cent for land acquired under Public Private

Partnership (PPP) model for public purpose.

• Compensation up to four times the market value in

rural areas and twice in urban areas. (in Arunachal

Pradesh there is no reference of Market Value still

very high rates are taken as base.

• Mandatory Social Impact Analysis (SIA) to assess

nature of public interest and estimation of socio-

economic impact prior to acquisition.

9

Challenges in Hydro Power Development

The Way Forward

1. Two part tariff for Hydro power and Hydro

purchase Obligation to encourage Hydro Power

Development.

2. In Principal Forest Clearance must be given

during Feasibility stage so that there is no

uncertainty and money can be spent for the right

purpose.

3. Formula for deciding clearances based density of

trees in a particular forest specially in Ar pradesh.

4. Stalled projects must be started to gain

promoters confidence.

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5. Political consensus to restart the Stalled

Projects.

6. Two key areas that need to be addressed to

promote hydro power development:

-Strengthen EIA follow-up and Social Impact

Assessment to strengthen public involvement.

7. Provide central subsidy for development of

roads, rail, river ports, transmission lines to cover

high initial tariffs from partial loading on

infrastructure.

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The Way Forward

8. Removal of misunderstanding that Hydro

project contributed to Uttarakhand disaster.

9. Formulation of clear cut policies for forest

Payment and land payment in Ar P.

10. The fact that hydro projects help mitigate the fury

of floods can be gauged from the fact, that had

Tehri Dam not withheld 90 per cent of the flood

inflows during the June’3 floods, the Rishikesh

and Hardwar would have been washed away.

11. Therefore more storage projects to be built based

on the requirement and technical feasibility of the

area.

12

The Way Forward

THANK YOU !!!

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