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Concerns remain over delayed hydro projects despite bailout package

There had been decline in interest from investors in hydro projects given environmental hurdles

Press Trust of India  |  Kolkata 

hydro power
hydro power

Despite a proposed bailout plan for the sector, concerns remain on the roll-out of the stalled projects, an official of the Central Electricity Authority said.

"Uncertainty remains about success even with the proposed bailout package due to various factors. So, we are currently targeting at projects which are in advanced stage say 70-80 per cent complete," the Central Electricity Authority official told PTI.

There had been a decline in interest from in the projects given environmental hurdles, better alternatives like solar power, the of which has plummeted drastically to below Rs 3 a unit, sources said.

RP Sanjiv Goenka group chairman Sanjiv Goenka had recently said they will not pursue new and will review their existing highlighting numerous hurdles.

There are some 14 stalled hydropower projects in the country involving 10,000 MW with around Rs 26,000 crore in these projects.

Besides offering fiscal benefits, the was contemplating to offer 'renewable' status to all irrespective of their size in the proposed bailout plan.

The percentage of hydro power has come down from 45 per cent in 1970 to 14 per cent in 2016 which is too less to have an efficient and balanced grid for operation, the sources added.

First Published: Sun, August 20 2017. 11:21 IST