1. Remarks of R.P. Singh CMD, SJVN Limited

2. Power Scenario in India & Neighboring Countries All India Installed Capacity (As on 30th September, 2014) Sector Installed Capacity (MW)% Share Thermal1,76,77869.6 Hydro4079916.05 Nuclear4,7801.85 RES3169212.5 Total254049

3. Power Scenario in India & Neighboring Countries Estimated Demand & Generation Projection in India by 2050 YearPeak Demand Requirement (GW) Installed Capacity Requirement (GW) 2016-17200271 2021-22283372 2026-27401528 2031-32542712 2036-37644882 2046-478441258 20508961388

4. Power Scenario in India & Neighboring Countries(- Contd-) Status of Hydro Power Development in India (As on 30 th September,2014 ) StatusCapacity (MW) Hydro Potential Available148701 Under Operation40799* Under Construction13207 Potential yet to explore96100 % of Potential harnessed ( Operation + construction) 34 %

5. Power Scenario in India & Neighboring Countries(- Contd-) % Share of sectors in All India Hydro Power Installed Capacity (As on 30.09.2014) Sector Installed Capacity (MW)% Share Central1062326.03 State2748267.36 Private26946.61 Total40799

6. Power Scenario in India & Neighboring Countries(- Contd-) Status of Hydro Power Development in India - Opportunities Status Capacity (MW) > 25 MW Arunachal Pradesh Uttarak hand Himachal Pradesh SikkimKarnatakaMaharashtr a Hydro Potential 500641799818540424864593314 Under Operation 4053426843966935852487 Under Construction 285416403085262200 Yet to explore 468051293270169572874827 % of potential explored 6.5286255 75 Kerala 3378 1881 100 1396 59

7. Power Scenario in India & Neighboring Countries(- Contd-) Hydro Power Opportunities in Neighboring Countries:- StatusCapacity (MW) BhutanNepal Hydro Potential30000(Technically feasible 23760 ) 80000 Under Operation1488718 Under Construction100644323 Yet to Explore1220874959 % of Potential explored486

8. Challenges for Hydro Power Sector  Land Acquision  Environmental Issues  Market Challenges:- Bidding process for hydro projects, difficulty in financing due to long gestation period  Technical Challenges: Natural Disasters of flood and landslides along with unexpected cavities, underground water springs (hot/cold) and a relatively fragile rock as Himalayas are young fold mountains.  Lack of Infrastructure:- Lack of communication facilities, Sub stations & Power Evacuation Network.  Clearance of DPR and approval of Investment decision  Long gestation period

9. Challenges for Hydro Power Sector-Contd- Major slippage reasons for Hydro Projects  Delay in Preparation of DPR & MOU Signing  Delay in MOEF Clearances  Delay in Investment decision/Funds tie up constraints  Delay in Award of Works  Geological Surprises  Natural Calamity  R &R Issues  Court cases

10. Measures to Optimize the Hydro Power Generation  Optimization in Operation of Hydro Power Plants  Hydro Plants need to operate at Overload Capacity available within design limit during high flow season and/or during peak hrs.  Use of advance technologies e.g. Robotic based HVOF Coatings on underwater parts, Periodic Reservoir Flushing and specific arrangements at Dam to counter high silt in the river.  Use of latest Control schemes/up gradation of control system of old plants to achieve fast response characteristics e.g. FGMO/RGMO Mode of operation, SPS Schemes for improving grid security etc. Result:-  Extra MU  Extra MW  Less Maintenance time  Reduced cost of Maintenance  Increased Plant Availability

11. Gross Energy Generation (MU) The design energy generation capacity is 6,612 MU in a 90% dependable year Measures to Optimize the Hydro Power Generation-Contd- Nathpa Jhakri Hydro Power Station (1500 MW) PAF ( NAPAF 90%) Highest in the country

12. Measures to Optimize the Hydro Power Development  Regulatory Framework for Hydro Power Sector:- Revival of Mega Power Policy to allow the benefit of Excise Duty/Custom Duty on Equipments as well as Construction material (Steel, Cement etc) for the Hydro plants of Unit size more than 50-100 MW Possibility of Single Window clearance for all approvals required to set up a Hydro Power Plant. A Central Agency/ Govt. of India may be given the responsibility for preparation of DPR and obtaining all other statuary clearances before the allotment of project to developer for execution. Statuary clearance from the Environment, Forest and Wildlife point of view may be accorded on a speedy basis. Speedy approval of investment decision after the project has been allotted to the developer.  Improving Infrastructure of the Region Prior to Execution of Project: Roads, Rail Connectivity, Upgrading of the existing sub-stations, Basic Infrastructure for PAPs

13. Measures to Optimize the Hydro Power Development (Contd.)  Planning for Integrated River basin development approach:- Project allocation procedure in line with integrated river basin development, Cascade /Tandem Projects should be allotted to same developer.  Development of Benefit sharing mechanism with PAPs for benefit of all stakeholders:- Provisions for the PAPs to establish an ownership in the project by offering suitable equity participation at par as on the date of COD.  Power evacuation Infrastructure:- Dedicated Transmission network may be created for Evacuation of Power from the North East Region. Building Pooling substations in locations having concentration of hydro resources to reduce project cost.  Introduction of Hydro Power Purchase obligation in line with renewable sector.  Differential Tariff Structure consisting of Peak & Off-Peak Tariff  Introduction of incentive scheme for Operational Hydro Power Plants -- Black start up capability -- reactive power regulation -- measures to ensure grid security like SPS & FGMO/RGMO mode.