ocean energy

India set for Chinese support of small hydro power projects

A memorandum of understanding has been signed between a Chinese organization and P. Das and Company, which forms a joint venture with the firm. The aim of this joint venture is to promote small hydroelectric plants in north eastern India.

The Chinese firm called International Network on Small Hydro Power (IN-SHP) is an organization which is spread over 40 countries and sponsored by the United Nations. The firm will provide expertise in setting up the small hydro power plants I addition to training as well as practical and technical advice.

This part of India stands to gain a great deal from this environmentally friendly form of electricity which can bring power to the rural regions of the country. The government of India is also behind such initiatives and estimates the potential alone in this region to stand at about 2,000 MW from small hydro power. This power would also not require a great deal of expensive transmission lines which could stand in the way of these projects. It is hoped that this can be achieved through private sector initiatives as well as subsidies.

The project ill be owned and operated for 25 years during which time the investment will be recovered and then the company will transfer the projects into government hands.

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