“The concept of pumped storage is gaining importance and it’s time to focus on building up hydropower potential”, stated Shri M. A. K. P. Singh, Member Hydro & CISO Ministry of Power (MoP), Central Electricity Authority (CEA) at the Annual Conference 2023 titled Hydropower & Pumped Storage – Critical for Grid Resilience organised by the Associated Chambers of Commerce and Industry of India (ASSOCHAM) in New Delhi. He further highlighted the Government’s perspective on the energy sector’s requirements and the essential role of stakeholders in advancing the nation’s power capabilities.
Centered around the discussions on the hydro-rich state’s industry, Shri M. A. K. P. Singh provided insights into the nation’s evolving energy landscape. “We have been adding more thermal capacities in the previous years. Initially, hydro was at its peak, and later on, we leaned towards thermal generation, including rapid gas expansion. However, this led to a slip in capacity addition in the micro sector,” he explained.
With the advent of Renewable Energy with Forecasting and Scheduling (RAFC) capacity, the Member Hydro & CISO MoP, CEA explained the pressing need for additional storage solutions. “There is an urgent need to add storage capacity,” he asserted, citing the significant role Pumped Storage Schemes play in grid stability. He highlighted their essential services, including grid levelling and supporting the integration of renewable energy sources.
Addressing the challenges facing the sector, Shri M. A. K. P. Singh acknowledged ongoing discussions related to geological services and developers’ issues at project sites. He specifically noted hurdles in obtaining Environmental Clearance (EC) and forest clearance (FC), emphasising the importance of streamlining these processes.
He also shed light on a promising benchmark project. “One project will showcase the developmental prowess of our hydro sector. While it typically takes a decade for construction to commission, this benchmark aims to achieve it within 32-36 months,” he revealed, encouraging accelerated project execution.
Highlighting the private sector’s role, he mentioned, “Private players have been contributing remarkably well to the micro sector. This positive trajectory should alleviate concerns about returns and investment, as we embrace the forthcoming hydro policy.”
Pumped storage’s inherent value also garnered attention during the conference. “Pumped Storage Schemes offer instant start facilities and numerous other benefits. Developers with storage capabilities can contribute to the sector by sharing energy during peak demand,” Shri M. A. K. P. Singh elaborated
Shri R. Meenakshi Sundaram, IAS, Secretary (Energy), Uttarakhand Power Corporation Limited expressed gratitude to the Government of India for recognising the significance of large hydropower projects in the realm of substantial development. He stated, “Now, hydropower is a very important sector in the state of Uttarakhand.”
Speaking about challenges, he stated, “There has been a significant negative sentiment amongst environmentalists and judiciary regarding hydropower projects which needs to be removed urgently.” He highlighted concerns about certain valleys, sharing, “In Uttarakhand, the Bhagirathi river valley is totally banned for any further projects. It has been declared as the eco-sensitive zone and the Alakhnanda river valley, we have some temporary roadblocks separating the judiciary and ministry of water resources and we are here pursuing at various levels to remove these roadblocks.”
Discussing policy changes, he explained, “To promote hydropower, the state has come up with some policy changes like PSUs have been requesting the state government for staggering of the free power. So we accepted their demands and we got this clear in the cabinet where for the first 8 years we will be charging only 4 percent instead of 12 percent then gradually it will increase and will reach up to 45 percent in later stages.”
During the conference, Shri Sandeep Singhal, the Managing Director of UJVN Ltd, remarked, “For the hydropower industry to take a leading role, it’s essential to establish both policy and implementation measures. The state government’s approach is reviving interest among developers in the hydropower sector. Critical areas needing focus encompass obtaining budgetary backing and effectively handling infrastructure expenses. The transition from an unnoticed sector to a significant player, aided by governmental initiatives, has positioned hydropower as a fundamental source of stability in the spectrum of renewable energy choices.”
Others who also spoke during the conference were Shri Sureshwar Poddar, Chief Consultant (Technical), Hydro Power Development Corporation of Arunachal Pradesh Ltd.; Shri Pura Tupe, Chief Engineer (Development & Planning), Department of Hydropower Development, Arunachal Pradesh; Shri Gagan Agarwal, Managing Director, Sikkim Power Development Corporation Limited; Shri Dinesh Prasad Bhargava, Managing Director, Sikkim Urja Ltd.
