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Home News Power Sector News Himachal introduce incentive scheme to tap 23000 MW Hydro generation by 2020

Himachal introduce incentive scheme to tap 23000 MW Hydro generation by 2020

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Himachal CMThe Himachal Pradesh government has decided to give incentives to hydro electricity projects in the state, which are completed ahead of the schedule period, chief minister Prem Kumar Dhumal told the state assembly. The incentive system has been introduced to motivate the party to complete the project on time, Dhumal said in reply to a private member resolution of Congress G S Bali.

The HP CM said under the incentive system, if the project is completed a year before stipulated five-year deadline, the power firms will have to provide only 11% free power to the state instead of the mandatory 12%. Similarly for every year delayed after the completion date the power plants will have to supply 1% additional free power above the mandatory 12%, he added.

Besides, the state government is also planning to take strict action against defaulters.

Eleven power projects, which has not begun work after signing agreement, have been cancelled and show cause notices issued to 37 others for slow progress, Dhumal, who holds the power portfolio, said. A total of 23,000 mw power generation is expected in the state by 2020, he said.

Due to strict monitoring of the projects through a separate energy directorate, it was expected that 3944 mw additional power would be available to the state through completion of several projects, he added. Later, Bali withdrew the resolution.

Source - Financial Express

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