The power ministry has issued guidelines for budgetary support for flood moderation and to create enabling infrastructure like roads, bridges with regard to hydro power projects.
According to a power ministry statement, the basic objective of the budgetary support for these components is to reduce tariff levels of these projects, thus ensuring that the consumers are charged cost related to power components only.
The financial value of flood moderation will be worked by technical agencies, like CWC, in accordance with the guidelines.
"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 amount required for flood moderation/ storage costs shall be released, through Ministry of Power budgetary provisions after appraisal of each project, on a case-to-case basis, by Public Investment Board (PIB)/ Cabinet Committee on Economic Affairs (CCEA) as per due process.
The budgetary support for enabling Infrastructure like roads/ bridges for hydro power projects will be on case-to-case basis.
It would be provided after appraisal/approval of each project by PIB/ CCEA as per the extant rules/due process and would be provided by Ministry of Power.
The limit of this budgetary support for such roads and bridges would be Rs 1.5 crore per MW for projects up to 200 MW and Rs one crore per MW for projects above 200 MW.
It shall be provided for projects starting construction after March 8, 2019, i.e., the date of notification of the Cabinet approval.
The Centre has approved various measures to promote hydropower sector in India.
Through these measures, it targets achieving a cumulative hydropower installed capacity of 75 GW by 2030.
This will also underline India's unwavering commitment to mitigate climate change by promoting clean and green hydropower.
These measures include declaring large hydropower projects, i.e., projects with capacity of more than 25 MW as renewable energy source, hydro power purchase obligation, tariff rationalization measures, budgetary support for flood moderation component of hydropower projects and budgetary support for cost of enabling infrastructure.
(To receive our E-paper on whatsapp daily, please click here. We permit sharing of the paper's PDF on WhatsApp and other social media platforms.)