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Maharashtra

State Hydel Policy For Development Of Small Hydro Power Projects through Private Sector Participation

Last IREEED Review: 19 September 2013
Program Overview
State: Maharashtra
Technology : Small Hydro Power
Date of Issue : 09 September2005
Nodal Agency : Maharashtra Energy Development Agency (MEDA)
 
Summary
This policy is applicable to CPP through hydropower projects up to 25 MW installed capacity which is considered as one of the non-conventional energy source. The SHP allotted under this policy shall be on Build, Operate & Transfer Basis (BOT) and the period of BOT is 30 years. At the end of the BOT period entire ownership will be transferred to the Government of Maharashtra, Water Resources Department (GoMWRD). Grid Interfacing & Evacuation Arrangements and banking would be as per the tariff orders issued by Maharashtra Electricity regulatory Commission (MERC). Developer has to pay GoMWRD-a water royalty charge of Rs 0.05 per unit of energy generated; maintenance of intake structure at the rate of Rs 0.05 for every unit generated ; land lease charges for GoMWRD at the rate of Rs 1/kW of installed capacity/year. The charges mentioned here are for first year only and will be increased in every subsequent years by 5% by compounding. Taxes and other duties are applicable and developer shall pay it to State/Central Government. Power generated can be sold to any distribution licensee but first preference would be given to Maharashtra Electricity Distribution Company. CPPS shall be exempted from Electricity Duty on the self consumption of electricity only for first five years after commissioning if the consumption unit is located in Maharashtra. CPPs shall be exempted from tax on Sale of Electricity only if the consumption unit is located in Maharashtra.
 
 
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