By TIOL News Service

NEW DELHI, JULY 16, 2024: UNION Minister for Power and Minister for Housing and Urban Affairs, Manohar Lal, reviewed urban development schemes and the power sector scenario for Uttarakhand in Dehradun yesterday.

Pushkar Singh Dhami, Chief Minister, Uttarakhand, was present in the meeting. The meeting was also attended by senior officials from the State Government, Ministry of Power, Govt. of India (GoI), Ministry of Housing and Urban Affairs, GoI and THDCIL.

The progress of Revamped Distribution Sector Scheme (RDSS) in the State was reviewed in the meeting. Additionally, issues related to Hydro sector projects, Power Sector reforms, measures taken for facilitating Ease of Living through electricity and additional allocation of power from central share to meet the growing demand were discussed. The State Government also raised its concerns and suggestions on the issues presented.

In his address, Manohar Lal, Union Minister of Power and Housing and Urban Affairs mentioned that his visit to the State will be important in understanding the issues and in fostering strong Centre-State relations. He emphasized on the initiatives taken under Ease of Living (EoL) so as to improve consumer experience in respect of electricity services. He highlighted the role RDSS would play to bring improvement in the electricity distribution sector and in ensuring remote area electrification, particularly for PVTG households. He appreciated the efforts made by State in electrifying the PVTG households, as part of PM-JANMAN, in a short span of time.

He advised that the State should expeditiously implement the works sanctioned under RDSS, should strive for reducing AT&C losses to less than 10% and to eliminate the gap between average cost of supply and the average revenue realized so as to minimize the financial burden on the DISCOM and, thus, the State.

Union Minister further mentioned that 1,000 MW of PSP project in Tehri is likely to be commissioned by December, 2024, of which 250 MW capacity is likely to be commissioned by August 2024. In addition, Vishnugad Pipalkoti (444 MW) by THDC, Tapovan Vishnugad (520 MW) by NTPC and Lakhwar MPP (300 MW) by UJVNL are under construction.

He mentioned about the initiatives taken by the Central Government in order to make HEP/ PSPs viable, like bringing in the provision for Hydro-power Purchase Obligation (HPO), taking measure for Tariff Rationalization, Waiver of ISTS charges, etc. GoI is also providing funds for supporting the cost of Enabling Infrastructure and Flood Moderation Component. He also mentioned that the State, in which project gets established, also gets benefitted in the form of Free Power @ 12 % and 1 % LADF in addition to other benefits.

Union Minister also mentioned that the State of Uttarakhand has very good policies for promoting hydro-power sector, however, the State may like to review the policy regarding imposition of water-cess on the hydro-power projects.

Union Minister of Power assured for continued support and cooperation of the Government of India in the overall development of the State.

Chief Minister of Uttarakhand welcomed the Union Minister for his visit to the State of Uttarakhand to review the issues of Urban development and Power sector. He also requested to provide financial assistance to hilly States like Uttarakhand for hydro-power projects. He also provided an overview of the State's power scenario and mentioned that the State Government is committed towards providing 24 x 7 uninterrupted power supply to the electricity consumers. He assured of taking necessary measures for expeditious implementation of Distribution Infrastructure and Smart metering works sanctioned under RDSS for Uttarakhand. He informed that State Government will take measures to help DISCOM overcome AT&C losses. He thanked Ministry of Power, GoI for enhancing allocation of power to State from the central pool, however, he requested for extension of time period for the same and to further raise the quantum of additional power allocation.

The GoI has set an ambitious target of installing 500 GW of power from non-fossil fuel sources, such as solar, wind etc., by 2030 in which Hydro-electric projects including Pump Storage Projects (PSP) play a vital role.

India has hydro power potential of ~133 GW, of which ~42 GW (32%) has been developed so far. The potential of PSP is also ~133 GW, of which only 4.75 GW (3.6%) has been developed so far. Similarly, Uttarakhand has a potential of 14.5 GW, of which 4 GW has been developed and 5.6 GW is under development.