The Orissa Electricity Regulatory Commission (OERC) has directed the state government to take proactive and transparent steps for the smooth development of renewable energy projects in the state. The commission’s directive has come in the wake of a petition filed by the developers of small hydro electric projects under 25 mw who are facing difficulties in implementing their projects because of bureaucratic delays.

The OERC, in consonance with the National Electricity Policy and the Electricity Act, 2003, had fixed at least 3% of the total power to be procured from the renewable energy sources in 2007-08. This will go up by 0.5% each year till it reaches 5% in 2011-12. However this is unlikely to happen, as there is practically negligible production of renewable power in the state, noted the Commission.

The state transmission company, Gridco, and the distribution companies (DISTCOMs) are unable to procure power for lack of any development of renewable energies in the state. The relevant departments and agencies of the government are either moribund or have made procedures so complex that developers are finding it difficult to make any progress. This lack of enthusiasm on the part of the government agencies is playing the spoilsport, observed the Commission.

Many detailed project reports (DPR) by private developers are laying unnoticed for more than three years due to delay in approval by the State Technical Committee that issues techno economic clearance to the DPRs. No special cell for dealing with hydro electric projects has been created either. Consequently, the developers are facing immense problems in getting their feasibility reports /DPRs examined and approved.

After hearing all the parties and perusals, the Commission has directed the water resources department to file a detailed list of the pending DPRs. It has also directed that there should be effective coordination between the water resources and the energy department for hasslefree clearance of the pending DPRs in the interest of the state. The Commission further proposed regular sittings of the State Technical Committee to take quick decisions on the sub-standard and incomplete project reports.

While many states have surged ahead with the development of the renewable energy resources, Orissa is badly lagging behind, despite the huge potential available hydro, wind and solar sources, regretted the OERC.