Lok Sabha Question No. 2371 (UNSTARRED), answered on 2017-03-16
Subject: Hydro Power Projects in Backward Areas
Ministry: POWER
Asked by: SADASHIV KISAN LOKHANDE

## GOVERNMENT OF INDIA MINISTRY OF POWER

## LOK SABHA UNSTARRED QUESTION NO.2371 TO BE ANSWERED ON 16.03.2017

## HYDRO POWER PROJECTS IN BACKWARD AREAS

†2371.  SHRI SADASHIV LOKHANDE:

Will the Minister of POWER be pleased to state:

- (a) the details of major  hydro  power  projects  lying  pending  and incomplete in the country particularly in backward areas, State/UT-wise;
- (b) whether the Government proposes to formulate any action plan to complete the pending projects assigned to the private sector; and
- (c) If so, the details thereof?

## A N S W E R

THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR POWER, COAL, NEW & RENEWABLE ENERGY AND MINES

( SHRI  PIYUSH GOYAL )

(a) to (c) : Presently,  44  Hydro-Electric  Projects  (HEPs)  (above  25  MW) with total installed capacity of 11,993.5 MW are under construction in the country.    Out  of  these  44  HEPs,  21  HEPs  aggregating  to  6429  MW  are stalled / stressed due to various reasons. The state-wise details of such HEPs vis-à-vis the reasons for delay in commissioning are given at Annex.

In  order  to  promote  clean  and  renewable  hydro  electric  power and  make  it  sustainable,  various  options  are  under  consideration  of  the Government, which, inter-alia, include:-

- (i) Declaring all hydro power projects (irrespective of size) as renewable  energy  which  would  ensure  coverage  under Renewable  Purchase  Obligation  and  qualify  for  dispatch priority.
- (ii) Providing cheaper credit to hydro power projects above 25 MW with a view to make tariff competitive.
- (iii) Engaging  with  Central  Electricity  Regulatory  Commission (CERC) to work out modalities to reduce tariff by changing / rationalizing other tariff parameters like depreciation, O&M etc.

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## ANNEX REFERRED TO IN REPLY TO PARTS (a) TO (c) OF UNSTARRED QUESTION NO.2371 TO BE ANSWERED IN THE LOK SABHA ON 16.03.2017.

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## Stalled Under Construction Hydro Electric Projects

(As on 28.02.2017)

|   Sl. No. | Name of Project/ Executing Agency / Capacity (MW)   | State                     | Reasons for stalling                                                                                                                                                                    | Remedial Steps taken by Government / Developer                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                       | Likely Commissioning   | Likely Commissioning   |
|-----------|-----------------------------------------------------|---------------------------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------|------------------------|
|         1 | Subansiri Lower NHPC Limited 8x250=2000 MW          | Arunachal Pradesh / Assam | -Since 16.12.2011 works stopped due to agitation by various activists, fearing dam safety and downstream impacts of dam. -Case in Hon'ble National Green Tribunal (NGT), Kolkata bench. | Resumption of works: Hon'ble MoS (IC) for Power, Coal and New & Renewable Energy and Hon'ble MoS (IC) for Skill Development, Entrepreneurship, Youth Affairs & Sports had taken meeting with Expert Group of Assam on 10.12.2014 and with various Stakeholders of Subansiri Lower Project on 11.12.2014 to discuss the issues. As decided in the meeting, a Committee designated as 'Project Oversight Committee' (POC) consisting of 4 Experts from the Expert Group of Assam and 4 Experts from Govt. of India has been constituted, which is an on-going Committee to provide guidance/oversight to examine and resolve the various issues relating to the project as also to oversee their compliance along with project implementation. Separate reports have been submitted by POC members from the Expert Group of Assam & POC members of GOI in Jan./Feb.'16 respectively. Matter in Hon'ble National Green Tribunal (NGT): Matter related to Subansiri Lower HEP is being heard by Hon'ble National Green Tribunal (NGT), Kolkata. On hearing dated 11 th Dec'15, Hon'ble NGT allowed NHPC to undertake emergency maintenance work for safety and protection of the public and the property. However, Hon'ble NGT ordered that no construction work to the project be done. Further, as desired by Hon'ble NGT, both the reports submitted by POC have been | 4 years restart works. | after of               |

| Sl. No.   | Name of Project/ Executing Agency / Capacity (MW)                    | State              | Reasons for stalling                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                             | Remedial Steps taken by Government / Developer                                                                                                                             | Likely Commissioning                  |
|-----------|----------------------------------------------------------------------|--------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------------------------|
|           |                                                                      |                    |                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                  | on 5 th April,16 by MoP. Next hearing in Hon'ble NGT will be held in 29 th March, 2017. Signing of MoA with Govt. of Assam: Signing of MoA with State of Assam is pending. |                                       |
| 2.        | Gongri Dirang Energy Pvt. Ltd. 2x72=144 MW                           | Arunacha l Pradesh | Works stopped since 2 nd week of April, 2016 due to fund flow problem with promoter / lenders. Works restarted in July-2016 but again stalled since October, 2016 due to fund constraints with developer.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                        |                                                                                                                                                                            | 3½ years after active start of works. |
| 3.        | Kashang - II & III HPPCL 2x65 = 130 MW (1 unit already commissioned) | H.P.               | -Works on KK Link tunnel could not start since 2011, due to two separate cases (one for Environmental clearance and another for Forest clearance) were pending in NGT. The case of Environmental clearance has been decided in favour of HPPCL, whereas in the case of Forest clearance, it has been directed by the NGT that matter shall be placed before Gram Sabha in the presence of a Justicial Officer. The entire proceeding shall be completed not later than three months from the date of commencement of proceeding of Gram Sabha. HPPCL shall then submit the report to NGT. The application for challenging the NGT decision has been filed in the Hon'ble Supreme Court by HPPCL which has now been withdrawn on the direction of | Matter is Sub-judice.                                                                                                                                                      | 4 years after restart of works.       |

| Sl. No.   | Name of Project/ Executing Agency / Capacity (MW)                  | State   | Reasons for stalling                                                                                                                                                                        | Remedial Steps taken by Government / Developer                                                                                                                                                                                | Likely Commissioning                       |
|-----------|--------------------------------------------------------------------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------|
|           |                                                                    |         | Govt. of Himachal Pradesh on dated 08.09.2016.                                                                                                                                              |                                                                                                                                                                                                                               |                                            |
| 4.        | Tidong-I NSL Tidong Power Generation Ltd. 2x50=100 MW              | H.P.    | Works are stalled since July, 2016 due to funds constraints with developer                                                                                                                  |                                                                                                                                                                                                                               | 1½ years after the start of works.         |
| 5.        | Sorang Himachal Sorang Power Ltd. 2x50=100 MW                      | H.P.    | Works are stalled since 18.11.2015 due to rupture in the surface penstock pipe when unit#2 was under trial run.                                                                             | The compensation package and funds for repair of penstock pipe is being worked out by the developer. Further, negotiations with the bankers is in process to fund the additional cost required for carrying out repair works. | 1 year after the start of works.           |
| 6         | Tangnu Romai Tangnu Romai Power Generation 2x22=44 MW              | H.P.    | The developer informed that the project suffered due to very poor geology in HRT, due to which project got delayed and cost had increased. Further Works stalled since January, 2015 due to |                                                                                                                                                                                                                               | 4 years after the start of works.          |
| 7         | Shahpurkandi Irr. Deptt., Pb. & PSPCL 3x33+3x33+1x8 =206 MW        | Punjab  | - Works of Dam (J&K side) stopped since 30.08.2014 due to inter-state disputes between Punjab and J&K Government.                                                                           | A meeting at the level of Chief Secretaries was held on 20.02.2015 at Jammu. Issue yet to be resolved.                                                                                                                        | 4 years after restart of works.            |
| 8         | Lower Kalnai JKSPDC 2x24=48 MW                                     | J&K     | The works has been stalled due to financial issues with contractor. The contractor, M/s. Coastal Projects Ltd. has gone under CDR                                                           | JKSPDC is working out ways to re-start the project.                                                                                                                                                                           | About 4 years after the re-start of works. |
| 9         | Ratle GVK Ratle Hydro Electric Project Pvt. Ltd. 4x205+1x30=85 0MW | J&K     | There is no progress since 11th July, 2014. (R&R issues, Local issues, Law & order problem, Indus Water Treaty etc.)                                                                        | Developer has requested Govt. of J&K for early termination of PPA & taking over of the project. CEA has requested Govt. of J&K to convey decision of the State Govt. vide letter dated 26.10.2016.                            | 5 years after restart of works.            |
| 10        | Maheshwar Shree Maheshwar Hydel Power Corporation Limited          | M. P.   | Works suspended since Nov-11 due to cash flow problem with developer.                                                                                                                       | A high level committee under the chairmanship of Additional Chief Secretary(Finance) GoMP, was formed                                                                                                                         | 1-½ year after restart of works.           |

| Sl. No.   | Name of Project/ Executing Agency / Capacity (MW)   | State   | Reasons for stalling   | Remedial Steps taken by Government / Developer                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                           | Likely Commissioning   |
|-----------|-----------------------------------------------------|---------|------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------|
|           | 10x40= 400 MW                                       |         |                        | on 16th Oct, 2014 to find ways to complete the project. The committee has submitted its report on 2.5.2015. The committee has recommended three scenarios for commissioning the Maheshwar Project. Under the first scenario, another attempt to complete the project with the present private developer has been envisaged. Timeline for first Scenario has elapsed (2nd August 2015) without the promoter complying with its requirements. Currently, the process for revival of project under second scenario is underway which envisages Government companies to take over the project company with the private developer being kept as a minority shareholder. Accordingly, lenders being Govt. companies are planning to acquire the majority equity by way of conversion of sub- debt into equity and invocation of pledge shares. |                        |

|   Sl. No. | Name of Project/ Executing Agency / Capacity (MW)        | State        | Reasons for stalling                                                                                                                                                                                                                                                                             | Remedial Steps taken by Government / Developer                                                                                                                                                                                                                                                                                                   | Remedial Steps taken by Government / Developer   | Likely Commissioning            |
|-----------|----------------------------------------------------------|--------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------------|---------------------------------|
|        11 | Koyna Left Bank PSS WRD, Govt. of Maharashtra 2x40=80 MW | Mahara shtra | - Project stalled since July, 2015. The current expenditure on the project has already reached to almost original administrative approved cost level hence expenditure on the project is stopped and project work is processing at very slow rate. Revised cost is under approval by State Govt. | State Govt. expedite approval of RCE.                                                                                                                                                                                                                                                                                                            | to the                                           | 4 years after restart of works. |
|        12 | Teesta VI Lanco Teesta Hydro Power Ltd. 4x125=500 MW     | Sikkim       | There is almost no progress since April, 2014. (Funds Constraints)                                                                                                                                                                                                                               | Discussions between the various stakeholders for finding ways to re- start the project is underway. In a meeting held on 17.08.2016, High Power Committee of the State Govt. recommended to take over the stalled projects in Sikkim by CPSUs. Further, all stake holders were requested to re-examine more options for re-start of the project. | 3                                                | years after restart of works.   |

| 13   | Rangit-IV Jal Power Corp. Ltd. (JPCL) 3x40= 120 MW   | Sikkim   | Works stopped since Oct-13 due to funds constraints with developer.   | Discussions between the various stakeholders for finding ways to re- start the project is   | 2½ after start works.   | years the of   |
|------|------------------------------------------------------|----------|-----------------------------------------------------------------------|---------------------------------------------------------------------------------------------|-------------------------|----------------|

|    |                                                    |        |                                                                                                                                                                                                                                                                                                                                                                                                                                              | 26% to 51% to facilitate further funding by the lenders to recommence the project activities. Further, the High Power Committee of the State Govt. has requested the stake holders to re- examine more options including take over by CPSUs.   |              |
|----|----------------------------------------------------|--------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------|
| 14 | Panan Himagiri Hydro Energy Pvt Ltd. 4x75 = 300 MW | Sikkim | Major Civil Works could not start since April, 2014 for want of NGT Clearance                                                                                                                                                                                                                                                                                                                                                                | Matter is sub-judice. Since there is no stay, developer likely to start works after receipt of 4½ after start works.                                                                                                                           | years the of |
| 15 | Thottiyar KSEB 1x30+1x10=40 MW                     | Kerala | - Works are almost standstill since Nov, 2015. The contractor has put forward a proposal for foreclosure of the Project due to their financial stringency and a detailed note regarding the same was submitted to the Board for approval. It is decided to foreclose the work and the balance work may be re-arranged through open tender or through Govt. approved executing agencies like Uralungal Labour Contract Co- operative Society. | State Govt. to expedite the re- award of works. 4 years restart works.                                                                                                                                                                         | after of     |

| 16   | Pallivasal KSEB 2x30=60 MW   | Kerala   | - Works are almost standstill since Jan, 2015. The contractor has put forward a proposal for foreclosure of the Project due to their financial stringency and a detailed note regarding the same was submitted to the Board for approval. It is decided to foreclose the work and the balance work may be re-arranged through open tender or   | State Govt. expedite the award of works.   | 4 years after restart of works.   |
|------|------------------------------|----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------------|-----------------------------------|

|    |                                        |              | through Govt. approved executing agencies like Uralungal Labour Contract Co-operative Society.   |                            |                                 |
|----|----------------------------------------|--------------|--------------------------------------------------------------------------------------------------|----------------------------|---------------------------------|
| 17 | Lata Tapovan, NTPC Limited 3x57=171 MW | Uttara khand | Construction work stopped vide Hon'ble Supreme Court order dated 7.5.14.                         | The matter is sub- judice. | 4 years after restart of works. |

Total No. of Stalled Projects = 17 Nos. (5228 MW) In addition to above, the following projects are also stressed :-

|   Sl. No. | Name of Project/ Executing Agency/ Capacity (MW)      | State       | Reasons for Stress                                                                                                                                                                                                                                                                                                                                                                                                                                    | Likely Commissioning                 |
|-----------|-------------------------------------------------------|-------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------------------------------------|
|         1 | Polavaram Polavaram Project Authority(12x80 = 960 MW) | A.P.        | -Slow progress of works. - E&M works yet to be awarded. - Public hearing for construction of protective embankment to be held in Odisha and Chhattisgarh as desired by MOEF.                                                                                                                                                                                                                                                                          | 4 years after active start of works. |
|         2 | Phata Byung M/s. Lanco 2x38=76 MW                     | Uttarakhand | - Works affected due to flash flood in June, 2013. - Slow pace of works. - High tariff due to time & cost over-run.                                                                                                                                                                                                                                                                                                                                   | 3 years.                             |
|         3 | Singoli Bhatwari M/s.L&T 3x33=99 MW                   | Uttarakhand | - Works affected due to flash flood in June, 2013. - Slow pace of works. - High tariff due to time & cost over-run.                                                                                                                                                                                                                                                                                                                                   | 3 years.                             |
|         4 | Rangit-II Sikkim Hydro Power Ltd. 2x33=66MW           | Sikkim      | Works are stalled since 2014 due to non-release of funds by lenders because of power evacuation and land acquisition issues. Developer has to infuse equity into the project. Meanwhile, the promoter of the company 'Gammon India Ltd' is under CDR. Hence PFC is unable to disburse the loan. Talks between developer & lenders is under progress, however funds yet not disbursed by banks. The developer re-started works w.e.f. September, 2016. | 3 years after active start of works. |

Total Stressed = 4 Nos. (1201 MW) Grand Total = 21 Nos. (6429 MW) *************