India To Add Hydel Power Capacity To Cut Dependence On Thermal Power Addition: Sources

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(CNBC TV18)

With summers intensifying across India, power demand is expected to break earlier records and reach a peak of 277 GW as per the mid-term review of 20th Electric Power Survey.

The government is already in consultation with states to sign Power Purchase Agreements (PPAs) for 40 GW renewable energy capacity addition in Financial Year 2026 as part of energy transition goals.

Sources have indicated that stakeholder consultation has already been completed in the Western and Eastern regions, while it is underway in parts of Northern and Southern India.

As per the reassessment study carried out by the Central Electricity Authority (CEA) during the period 2017-2023, the exploitable large hydro potential in India (over 25 MW) was identified at over 133 GW while the identified pumped storage potential is 1,76,280 MW.

As per data submitted in Parliament, India’s hydel power capacity is slated to increase from 42 GW to 67 GW by 2031-32. For smaller hydel power projects (less than 25 MW), the estimated potential is 21 GW from 7,133 sites as per the assessment by the Hydro and Renewable Energy Department (HRED).

Around half of the potential is located in the mountainous areas of Jammu and Kashmir, Himachal Pradesh, Uttarakhand and Arunachal Pradesh, while Maharashtra, Chhattisgarh, Karnataka and Kerala are also among the potential states.

While solar power and wind power continue to be the mainstays of renewable energy (RE) capacity addition, both have faced hurdles in scale-up due to requirement of large swathes of land, with solar capacity addition also subject to uncertainties in global supply chains of solar PV modules, cells and raw materials. Both the modes of power are also cyclical in nature, hence the need for base load continues to be fulfilled by thermal power due to its round-the-clock availability.

India aims for 500 GW of renewable energy capacity by 2030, including 292 GW of solar energy capacity. With 220 GW RE capacity already installed by the end of FY 2024-25, the country is aiming to install 288 GW capacity over the next 5 years. Last year, the government had indicated the need for an investment of42 lakh crores in renewable energy, including transmission infrastructure.

While work is already underway in coastal states to increase the uptake of offshore wind energy in terms of cost efficiency as well as explore the potential of tidal energy, sources indicated that a calibrated increase is being looked at for hydel power capacity over the next few years to add to base load and reduce overall dependence on thermal power addition.

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