Power Ministry reveals new guidelines to support flood moderation in Hydropower Projects

The power ministry has issued guidelines for budgetary support for flood mitigation and the creation of enabling infrastructures such as roads and bridges on Thursday with regards to hydropower projects. According to a press release from the power ministry, the primary goal of the funding allocations for these elements is to lower price levels for these projects, ensuring that consumers only pay for power components. Professional agencies, such as CWC, will work on the financial worth of flood mitigation in compliance with the recommendations, the ministry has recommended.

"Ministry of Power has issued detailed guidelines for budgetary support for flood moderation and for budgetary support for enabling infrastructure - roads and bridges with regard to hydropower projects," the statement said.

The funding required for flood mitigation/storage expenditures will be provided through Ministry of Power budgetary provisions after the Public Investment Board (PIB) / Cabinet Committee on Economic Affairs (CCEA) appraises each project on a case-by-case basis, the power ministry has said.

On a specific instance basis, the funding support for enabling infrastructure such as -- roads and bridges for hydropower projects will be provided. The ministry also said, following the appraisal/approval of each project by the PIB/CCEA in accordance with the existing rules/due process will be provided. The budgetary support for such roads and bridges will be limited to Rs 1.5 crore per MW for projects up to 200 MW and Rs one crore per MW for projects over 200 MW.

Steps taken by govt to promote hydropower sector

The government will provide it to the projects that begin construction after March 8, 2019' Various steps to enhance India's hydropower sector have been approved by the Centre. It aims to achieve cumulative hydropower installed capacity of 75 GW by 2030 through these efforts. This would also highlight India's unshakable commitment to combating climate change through the promotion of clean and green hydropower. Declaring large hydropower projects as renewable energy sources, i.e. projects with a capacity of more than 25 MW, hydropower purchase. The government also said that setting up the obligations, tariff rationalisation measures, budgetary support for flood moderation components of hydropower projects, and budgetary support for cost of enabling infrastructure are among these measures.

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