Micro hydel projects slow starters in Himachal

Micro hydel projects are up to 5 MW, built on small rivers and streams.The state run energy development agency Himurja is the nodal agency and awards work to build and run these projects since 1994. Only 5 per cent of this potential energy has been tapped, say officials.

Once tapped, the entire capacity of these 259 micro projects will be around 900 MW.

Even though many of these projects have been awarded many years ago.Of these 126 are at the memorandum of understanding (MoU) stage while the implementation agreement (IEA) has been signed for another 133 micro projects.

"So far only 15 micro hydel projects are in operation generating around 51 MW of power," said Ajay Bhandari, chief executive officer Himurja.

"Four of these projects have come into operation this year. By March next year, five more micro hydel projects will be completed and the total generating capacity will go up to 150 MW," Bhandari said.

The state government gives preference to local investors to build and run micro hydel projects in the state. When asked these entrepreneurs cite several reason for delay in implementation of these projects.

Notably, delay in acquiring clearance or no-objection cerficates (NOCs) from various agencies including the local panchayat, the forest, revenue, IPH, PWD and fisheries departments.

These projects are awarded on a BOT basis for a period of forty years. But for the first twelve years the state government will receive no royalty from these projects. It will, however, start getting 12 per cent royalty of the total power generated from the 13th to the 30th year of operation.

For the last ten years of its life, the royalty to the state government will go up to 18 per cent according to the policy framed by the state government.