The government?s endeavour to develop more hydroelectric power projects and reduce dependence on thermal power has received a major boost after Japan Bank of International Cooperation (JBIC) showed interest in giving development assistance loan to hydro-power projects in India.
The JBIC funding is likely to give the government a shot in the arm as several hydro projects have been delayed and the country met a little less than half the target of 14,393 mw set for hydropower generation in the 10th Plan (2002-07). Moreover, of the country?s 1,35,000 mw power generation capacity, only 32,000 mw is based on hydropower.
Sources told FE that JBIC has already initiated a study to identify potential projects for funding through its annual budgetary appropriations. The funding agency is planning to engage consultants, comprising Japanese and Indian professionals, who will closely review the candidate projects that have so far been identified by the Centre. The consultants would evaluate projects on basis of technical, social, environmental and economic considerations and will undertake detailed site surveys. Sources noted that the Centre has already taken a proactive policy to encourage more investments in the hydro sector and has recently passed a new hydro policy, in an effort to attract assistance from multilateral and other financial institutions, both domestic and international.
The study team would include experts in the field of civil design, geology, and hydro power planning, hydrology specialists, economics, electricity specialists, power system specialists, environment and CDM specialists and development policy specialists will also be part of the expert team. The study report is expected to be ready by March 2008 and the final report is due for submission in June.
The executing agencies and other relevant organisations, such as the power ministry, would undertake to furnish the study team with all relevant data, information and documents as and when required. They would also assign counterpart personnel and ensure issuance of entry permits necessary for the study team members to conduct field surveys.