According to reports, Uttar Pradesh New and Renewable Energy Development Agency (UPNEDA) has invited bids from private companies or consortiums for setting up small hydro power projects in the state. The proposed plants numbering 11 with tentative installed capacity of over 11,000 Kilowatt (Kw) are to be developed in Meerut, Jhansi, Jalaun, Banda, Pilibhit and Varanasi districts.
The state government has appointed UPNEDA as the nodal agency, to solicit the interest of entrepreneurs through tariff based bidding on Build, Own, Operate and Transfer (BOOT) basis. The projects are proposed on canals or rivers in the respective districts, including Upper Ganga Canal, Betwa Canal, Ken Canal, Sharda Canal and Karmnasa.
As per tentative bid terms, the selected developer would be responsible for design, construction, investing, managing, operating and maintaining the projects on BOOT basis, for a concession period of 35 years.
Indian Institute of Management, Roorkee (IIM-R) has prepared the Detailed Project Report (DPR) for eight of the proposed projects, while the remaining three have their Pre-Feasibility Reports (PFR) ready.
“The company quoting the lower tariff for an individual plant would be considered for awarding the contract. The selected company would have to provide 12 per cent of the generated power, free to UP Power Corporation Limited (UPPCL), while the rest would be purchased on the agreed tariff to be put on grid,” Project Officer Ram Kumar told Business Standard. The pre-bid meeting for these projects is slated on September 29 in Lucknow, while the last date of submission of bids and also opening of bids is November 1, 2011.
The total investment in these projects is estimated at Rs 100 crore. The largest project is proposed to be in Varanasi on Karmnasa, which totals 2,000 Kilo-watt, followed by Betwa I in Jhansi (1,800 Kw), Betwa II in Jhansi (1,500 Kw) and Matena in Pilibhit (1,500 Kw).
A hydro power project requires Rs 7-8 crore investment per Mw, which is more than required for thermal power project. However, there are no running costs for a hydro power plant.
Meanwhile, a 400 Kw hydro power plant on Upper Ganga Canal in Bulandshahr had already been awarded to a Hyderabad-based company. It would take another two years to complete and the agreed tariff is 3.80 per unit.