The Union Minister for Power and New & Renewable Energy has informed that the States in the North Eastern part of our country are endowed with large Hydro potential and that the government has taken the following initiatives in order to attract investments in developing Hydro Power in the region.
- Declaring Large Hydro Power (LHPs) (> 25 MW projects) as renewable energy source.
- Putting in place a Hydro Purchase Obligation (HPO)
- Tariff rationalization measures for bringing down hydro power tariff.
- Budgetary support for flood moderation/storage in Hydro Electric Projects (HEPs).
- Budgetary support towards cost of enabling infrastructure, i.e. roads/bridges.
- Full 100 % waiver of Inter State Transmission System (ISTS) charges for new hydro power projects in which construction work is awarded and Power Purchase Agreement (PPA) is signed on or before 30.06.2025.
The details of waiver of ISTS charges trajectory where construction work is awarded and PPA is signed after 30.06.2025 are given below.
Details of waiver ISTS charges trajectory where construction work is awarded and PPA is signed after 30.06.2025
Sl. No
Awarded of Construction work + Signing of PPA
Waiver of ISTS charges
1
01.07.2025 to 30.06.2026
75%
2
01.07.2026 to 30.06.2027
50%
3
01.07.2027 to 30.06.2028
25%
Waiver will be applicable for 18 years post-commissioning
