Mohinder Verma
JAMMU, Mar 24: The much touted State Hydel Policy, which focuses on development of micro-power projects in the private sector, has failed to take off as despite repeated advertisements independent power producers have not been coming forward mainly because of imposition of water usage charges.
The Hydel Policy for development of micro power projects in the private sector was first formulated in the year 2003 but the same had to be revised because of some flaws. After hectic exercise, the renewed hydroelectric policy framework was redrafted by a committee headed by Economic Advisor to the Government and finally the fresh policy for development of micro/mini hydro power projects was unveiled by Chief Minister, Omar Abdullah on July 7, 2011.
The main objective of this policy was to attract investors for the development of the State’s water resources in an environment friendly manner to provide a solution to the energy problems in remote and hilly areas where extension of grid system is un-economical or un-viable. A provision was kept in the policy to ensure that State subjects have exclusive right for developing projects from 2 Mega Watts up to 10 Mega Watts.
At the time of unveiling of the fresh policy, many hopes were pinned on the development of micro-power projects in the private sector but unfortunately the policy has failed to take off till date as independent power producers have not been coming forward to execute the projects despite repeated advertisements.
This can be gauged from the fact that 10 projects having generation capacity ranging between 3 Mega Watts to 10 Mega Watts were advertized in October 2011 under the policy. However, due to inadequate response it was decided to invite fresh bids.
Accordingly, these 10 along with two more projects were advertized in June 2012 but again there was inadequate response following which it was decided to re-advertise the projects after relaxation of the eligibility criteria. On January 15, 2013, a total of 24 projects with relaxed eligibility criteria were advertized. In case of some of these 24 projects, single bids were received thereby indicating poor response from the independent power producers of the State.
In September 2013 the Board of Directors of Jammu and Kashmir State Power Development Corporation decided to go ahead with opening of the single bids to encourage participation of permanent residents of J&K for which the projects up to 10 MW have been reserved in terms of the Hydel Policy-2011. However, no significant development has taken place since then towards execution of these projects.
According to the official data available with EXCELSIOR, there is no response to 5.50 MW Upper Ans, 3 MW each Chingus-I and Chingus-II, 2.75 MW Thannamandi, 4 MW Kutbal, 9 MW Rongdo, 7.25 MW Kutmarg, 7 MW Achura Gurez, 6 MW Hanswar Paddar, 4.50 MW Shaliganga, 4 MW Pomi Aridajan, 4 M MW Bringi, 10 MW Erin and 7 MW Boniyar. These projects have the capacity to generate cumulative 76 MW of electricity. Now, these projects will have to again go through re-bidding process.
The projects, whose price bids are under evaluation for the past several months, are 10 MW Mawar, 8 MW Sewa-I, 7 MW, Chenani-IV, 10 MW Shranz, 9 MW Sukhnag, 9 MW Bairass, 9 MW Tamasha, 6.50 MW Gulabgarh, 6 MW Nihama and 3 MW Sultanpathri.
According to the official sources, imposition of Water Usage Charges was playing spoilsport as due to these charges the cost of the projects will go up considerably and the independent power producers will not derive much benefit.
“The issue was taken up at the highest forum for giving relaxation vis-à-vis water usage charges to the independent power producers but no decision has been taken till date”, sources regretted.
According to the survey made by Rural Electrification Corporation, there are large number of un-electrified villages/hamlets in the State. So there is need for development of hydroelectric power on a scale serving a small community. Micro / Mini Hydel power has tremendous potential for generation of electricity in the State as the topography of State provides extensive network of canals and streams.