House panel seeks faster hydro project execution

New Delhi: A parliamentary panel has recommended a set of measures to accelerate hydropower projects development, including tighter monitoring of projects facing cost and schedule overruns, climate risk assessments, faster clearance processes, a model implementation agreement, support for the hydro contractor ecosystem and viability gap funding for new projects.

The recommendations are part of the Committee on Public Undertakings' assessment of government-owned NHPC Ltd. It also raised concerns over NHPC facing recurring shortfalls in the number of independent directors, including women independent directors.

The committee recommended that the power ministry introduce a quarterly optimisation framework for projects where schedule or financial variances reach 20%, with such projects escalated to a secretary-level monitoring group.


For Teesta-V, the panel recommended that NHPC adhere to its June 2026 recommissioning timeline and submit monthly progress reports to the power ministry. It also proposed a comprehensive climate risk assessment framework covering operational and under-construction projects. The committee suggested extending early warning systems to all NHPC joint ventures and subsidiaries and sharing relevant technology and information with other public sector companies in the sector.

On project clearances, it recommended that the power ministry examine with the ministries of Tribal Affairs and Environment the feasibility of a 70-75% qualified super-majority consent threshold for large hydropower projects of national importance, with safeguards for the interests of Gram Sabhas. It also recommended initiating Forest Rights Act compliance at the pre-feasibility stage.