Deloitte Touche Tohmatsu to evaluate MNRE’s small hydro project programme

CHANDIGARH: The Ministry of New and Renewable Energy has given advisory firm Deloitte Touche Tohmatsu India the work to assess the small hydro project programme for financial, economic and environmental sustainability. The work includes the evaluation of subsidy schemes and constraints in effective resource utilisation in case of hydro power projects up to 25 MW.

Its report is expected to aid the ministry in evolving the programme and in reviewing the impact of existing schemes in achieving objectives of performance. Deloitte Touche’s study will cover around 50 existing projects. The firm will look also at the quantum of subsidy being provided by the ministry and changes that are needed.

The development programme of small hydro projects of capacity up to 25 MW comes under the MNRE. Around 25% of power generation potential from small hydro projects has been achieved so far. The potential is estimated at around 20,000 MW.

The ministry is already in process to issue new guidelines for tariff-based bidding for small hydro power projects to make them viable in the changing power sector scenario.