Arunachal Diary » Hydro Projects

Anti-Dam Movement gears up-IMCLS & AIMSU demands ‘No Dam Zone in Dibang Valley’

AG — Mon, 16 Mar 2009 11:42:00 +0000

Anti-Dam movement has geared up in Dibang Valley with Idu Mishmi Cultural and Literary Society (IMCLS) and All Idu Mishmi Students’ Union (AIMSU) stating “We don’t want project in Dibang Valley and No further public hearing” in response to the notification for public hearing for 3000 MW Dibang Multipurpose Project which is scheduled to be held at New Anaya, Upper Dibang Valley on March, 27^th.

The press release states that coinciding with the ‘International Day of Actions against Dams, and for Rivers, Water and Life‘ on March 14^th, the Idu Mishmi Cultural and Literary Society (IMCLS) and All Idu Mishmi Students’ Union (AIMSU) demands declaration of Dibang Valley as Ecologically Sensitive Zone according to the provision under Section 3 of the Environment Protection Act, 1986 similar to Aravalli Hills where mining is banned; and in line with that they have demanded banning of construction of Mega Projects such as Dams in the region and to declare Dibang Valley as ‘No Dam Zone‘.

In an open letter to Prime Minister (reproduced below) they have asked the government to stop the cruel circus of development in the name of national interest of which they have little understanding and which do not evoke interests in them considering the impact it would have on the Idu Mishmi community.

(Click on the image for larger view)

They’ve further prepared a case for declaring Dibang Valley as ‘No Dam Zone’ under the provisions of Environment Protection Act, 1986. Find the case here.

Read related story on The Telegraph

Arunachal Pradesh Small Hydro Power Policy-2007

AG — Fri, 26 Oct 2007 10:22:00 +0000

The State Government has promulgated a new hydro policy called Small Hydro Power Policy-2007, to develop around 2000 MW of hydro power from small hydro projects to be built by private developers under Build Own Operate and Transfer (BOOT) basis. Under this policy, hydro power projects of capacity ranging from 1kW to 25 MW would be taken up. Some of the salient features of this policy are:

Processing fee: No processing fee would be required for projects between 1kW to 1MW. However, for projects above 1 MW but below 5 MW an amount of INR 25,000/- would be charged as processing fee. INR 30,000/- would be charged for projects from 5 MW to 10 MW whereas for projects above 10 MW and upto 25 MW the processing fee would be INR 50,000/-

Free Power: Those private developers undertaking the projects under this policy has to provide ‘free power’ to the state at the rate of 5 percent for projects from 1 kW to 5 MW and at the rate of 8 percent for projects between 5 MW to 25 MW. However, the local developers are exempted from this free power to the state for projects up to 5MW. There would be concession on free power for 3 years for project between 1 kW to 5 MW, 2 years for projects from 5 MW to 10 MW and 1 year for project above 10 MW.

Transmission Lines: The developers has to lay it’s own transmission line to feed the state grid from their power house.

Revenue: Revenue would be collected by the developers from the villagers where their power is fed.

Selection of Developer’s: Through a ‘single window’ selection system with high level selection committee constituted by the state government. After 30 days of selection of the developer, MoU (Memorandum of Understanding) has to be entered into by the developer and the state government.

Reservation Policy: There would be reservation for local developers as per the prescribed norms of the MoU’s signed earlier on Mega Projects. [????]

No doubt, as the government puts it, the promulgation of Small Hydro Power Policy-2007 would facilitate employment and business opportunities for local developers but the question that comes to mind is-why at this stage? When so many mega projects have been awarded to PSU’s and IPP’s and when the 12 percent free power that the state would get from these mega projects would be more than sufficient for the total power requirement of the state; what’s the need for going for development of small hydro projects? Is it because of the Environmental Concerns or there are other reasons? The Government spokesperson Tako Dabi says in this regard-

“The policy was needed as the state government was unable to provide power from mega projects to remote villages.”

But ‘Why’? Why can’t power be provided from the Mega Projects to remote villages? Is it because that necessary infrastructure has not been laid to bring power to the villages? Then what about RGGVY (Rajiv Gandhi Gramin Vidyitikaran Yojana) scheme under which each and every villages has to be electrified by the year 2010? Where has the money that state gets as a 90% grant under RGGVY (Rajiv Gandhi Gramin Vidyutikarn Yojana) scheme to lay necessary infrastructure to get the villages electrified, gone?

And if there is no proper transmission and distribution network how could development of small hydro projects help in electrifying the villages? (The Small Hydro Power Policy doesn’t mention if one has to lay the distribution network also, apart from transmission line to be connected to state grid. )

Nevertheless, this policy has opened up opportunity for unemployed local engineers to become an entrepreneur and be part of state development; provided the government is true to it’s policy of ‘single window clearance system’.

12 pc free power… Is it really free?

AG — Tue, 10 Oct 2006 12:00:00 +0000

this is in continuation to my earlier post titled “Hydroelectricity at Arunachal Pradesh-I”

“Apang seeks more than 12% free power from center”-The Arunachal Times dated 22-09-2006, citing the free power to the tune of 19% that has been promised by Independant Power Producers (IPP) – the request though, was politely turned down by Power Ministry citing Central Government Norms. Now let’s see what does this Central Government Norms says.

According to to this norm 12% of the hydro power generated in a state is to be provided free to the host government. In case of projects having unviable tariffs in the initial years, the 12% free power to the home state can be staggered in a manner such that it is kept low in the initial years and higher in the latter years so as to average 12% over the life of the project.

Now as per the norms, the Center couldn’t have provided free power more than 12 % as sought by the Chief Minister. But, is it really a free power?

I had been told that this 12% free power given to the host government where hydro-electric project is developed, is actually a water royalty – water being state subject. Now, what’s Royalty? According to Merriam-Webster online dictionary Royalty is ~

a right or perquisite of a sovereign (as a percentage paid to the crown of gold or silver taken from mines)
a share of the product or profit reserved by the grantor especially of an oil or mining lease.
a payment to an author or composer for each copy of a work sold or to an inventor for each item sold under a patent.

If we go by the definition, this 12% power should have been right/share of the state as it is the percentage that has to be paid to the State Government in lieu of profit made out of utilisation of water resource (read mine in the definition) of the State.

If it is the case, then where is the question of free power being given to the state? Isn’t it a misnomer? Is the term “free” technically correct? Shouldn’t we use the term ‘power share of the state’ instead of ‘free power to the state’?

Hydroelectricity at Arunachal Pradesh – I

AG — Fri, 29 Sep 2006 06:14:00 +0000

Arunachal Pradesh is bestowed with huge hydroelectric potential and is speculated to become the ‘Power House‘ of the country if this hydroelectric potential is tapped.

The identified hydroelectric capacity in respect of Arunachal Pradesh as per re-assessment study as on 30-04-2006 comes to 50,328 MW (source: -CEA Central Electricity Authority) and so far only about 0.8% of this capacity has been tapped owing to the difficult geographical terrain and inaccessability of possible project sites.

In a landmark move towards making this state Power House of India, the State Government on 21st of September, entered into MoA (Memorandum of Agreement) with CPSU power giants viz., N.H.P.C Ltd., N.T.P.C. Ltd. and NEEPCO Ltd., for harnessing 10,230 MW of hydroelectricity capacity out of the CEA estimated hydroelectricity capacity of 50,238 MW. These power giants would pump in around Rs. 42,242.66/- Crs. (estimated project cost) to harness this 10,230 MW of hydro power. Listed below are projects for which MoA has been entered into: -

I. Tawang – I Hydro Electric Project
i. Installed Capacity : 750 MW
ii. Annual Energy Generation (in MU) : 3156.10
iii. Location : Tawang District
iv. Implementing Agency : National Hydroelectric Power Corporation Limited (N.H.P.C)
v. Basis of Funding : BOO (Build, Own and Operate)

II. Tawang – II Hydro Electric Project
i. Installed Capacity : 750 MW
ii. Annual Energy Generation (in MU) : 3480.40
iii. Location : Tawang District
iv. Implementing Agency : N.H.P.C
v. Basis of Funding : BOO (Build, Own and Operate)

III. Dibang Multipurpose Project
i. Installed Capacity : 3000 MW
ii. Annual Energy Generation (in MU): 12270
iii. Location: Lower Dibang Valley District
iv. Implementing Agency: NHPC Ltd.
v. Basis of Funding: A Joint venture between Government of Arunachal Pradesh and NHPC Ltd.

IV. Kameng – I (Bharali – I) Hydroelectric Project
i.Installed Capacity : 1120 MW
ii.Annual Energy Generation (in MU): 4112.40
iii.Location: East Kameng District
iv.Implementing Agency: North Eastern Electric Power Corporation Ltd. (NEEPCO)
v.Basis of Funding: BOO

V.Pare Hydroelectric Project
i.Installed Capacity : 110 MW
ii.Annual Energy Generation (in MU): 491.74
iii.Location : Papum Pare District
iv.Implementing Agency: NEEPCO
v.Basis of Funding : BOO

VI. Etalin Hydro Electric Project
i. Installed Capacity: 4000 MW
ii. Annual Energy Generation (in MU): 16071.60
iii. Location : Dibang Valley District
iv. Implementing Agency: National Thermal Power Corporation Ltd. (NTPC)
v. Basis of Funding: BOO

VII. Atunli Hydro Electric Project
i. Installed Capacity : 500 MW
ii. Annual Energy Generation (in MU) : 2247.32
iii. Location : Dibang Valley District
iv. Implementing Agency : NTPC
v. Basis of Funding: BOO

These Hydroelectric Projects would be constructed taking all the environmental safeguards in accordance with the conditions of Ministry of Environment and Forests besides making additional investments by way of Catchment Area Treatment (CAT) etc. for control of soil erosion as declared by the Ministry of Power in a press release on 22-09-2006. The main highlight of the MoA was the creation of Local Area Development Trust (LADT) to take up development activities for the people of affected areas. Besides, 12 pc of free power the state will accrue from these projects, the projects would contribute 1 paise per unit of electricity generated to the trust (LADT).

With the signing of MoA, it is being said that the state is ushering into an era of progress and prosperity (….to be seen later).

As in any mega projects, there was mixed reaction from the populations of the state – some welcoming the move and some having reservations about these Mega Projects fearing it would dilute the socio-economic and socio-cultural identity of the region (the points to be discussed later).