NHPC offers to take over 4 private projects

State-run NHPC Ltd has proposed to take over four private sector projects of 6,000 MW capacity allotted to Jindal Power, KSK Energy and Himagiri Hydro Energy in Arunachal Pradesh and Sikkim.
NHPC has informed the power ministry that the projects look techno-commercially viable and can be taken over on mutually agreed terms with the state governments and the private power companies, a government official said.

“The private companies are unable to develop these projects because of various difficulties. NHPC has said all these projects are located close to its existing or ongoing projects and will be easier in implementation and operation,” said the official, who did not wish to be identified.

NHPC and Jindal Power declined to comment.

The private project developers had offered the projects for takeover by the state-run hydropower firm for implementation, NHPC has informed the power ministry.

Jindal Power had offered its proposed 680-MW Attunil and 3,097-MW Etalin in Dibang Valley, besides 1,800-MW Kamala project in Subansiri valley in Arunachal Pradesh, which were to be operated in a joint venture with the state government. Of these, NHPC has found Attunil and Etanil hydroelectric projects feasible for takeover.

Both these projects are in the Dibang Valley, where NHPC is implementing a multipurpose project.

“NHPC has said the present geographical and logistical synergy may lead to cost optimisation in respect of common infrastructure and facilities,” said the official.

NHPC has proposed that the upfront fees paid by Jindal Power to the state governments at the time of award of the projects may be adjusted as advance to the state governments, recoverable gradually. The environment and forest clearances for the projects have yet to be obtained.

There is no activity in the proposed 2,000-MW Subansiri Upper hydroelectric projects allotted to KSK Energy Ventures. NHPC has proposed to scale down the capacity of the project to 1,200 MW and the possibility of exploring assistance from the state government in terms of waiver or deferment of free power rights and state taxes to make the proposed plant economically viable.

NHPC’s 2,000-MW Subansiri Lower project is expected to be commissioned in August next year.

The fourth proposed 300-MW Panan hydroelectric project in Sikkim allotted to Himagri Hydro Energy, has obtained environment, forest and defence clearances and the land has been acquired. .

Currently, NHPC has 24 operational power stations, with a total installed capacity of 7,071 MW, while another seven projects with aggregate capacity of 6,000 MW are in various stages of construction.