Ans1)According to the statistics by Census of India, 2001, of the country's total population 27.

8% lives in urban centres where as 72.20% lives in rural India, which comprises of 638,596 traditional villages. Even today, 80,000 villages in India have never been electrified. Even the electrified villages suffer from scanty power supply. The situation is in need of urgent solution. Even the government admits that decentralized renewable energy solutions have to be deployed in large numbers in rural areas to provide the last mile connectivity for un-electrified areas India is a country where the existing Constitutional provisions and legislation do not provide an appropriate framework to deal with water sharing issues between states, sectors and individuals. In India Pumped storage scheme should be used as this produces electricity method

to supply high peak demands by moving water between reservoirs

at different elevations. At times of low electrical demand, excess generation capacity is used to pump water into the higher reservoir. When there is higher demand, water is released back into the lower reservoir through a turbine. Pumped-storage schemes currently provide the most commercially important means of large-scale grid energy storage and improve the daily capacity factor of the generation system. As Indian power sector is the energy shortage as well as peaking shortage. Energy shortage has been reported as 7% and peaking shortage as 10.7 %. The gap in demand and supply in electricity and non-stable demand of electricity is a big concern in the Indian power sector.

Ans 2) Factors which help hydro in terms of economy in comparison to other sources of generation of power are as follows Hydro Plant will require longer gestation period (8-10) years from inception to commissioning period. Hence a developer can enjoy a longer tax holidays Plant can produce excess generation of up to 15% of the Installed Capacity of the project. The advantage of capital structure is higher the debt portion, higher will be the returns. The secondary returns of Hydro are more which is a favorable factor is again. The Demand Supply gap is more in India and hence leads to higher merchant rates therefore favors higher returns. Hence Hydro power is a promising technology for national economy.

COMPARISON WITH CONVENTIONAL RESOURCES: PARAMETERS CAPITAL COST(Crore/ MW) COAL 4-5.5 NATURAL GAS 4-5 4-5 HYDRO 7-8 3-4

COST OF GENERATION (Rs/ 3.5-4.5 KWh) PROJECT LIFE (years) GESTATION PERIOD(years) OPERATING COST RISK TECHNOLOGY SITE INFLUENCE DECOMMISIONING COST LEVELLISED COST 25 4 High High Changing Low High OF 4.00

15 3 High High Changing Low High 3.5

60 5-6 Low Low Mature High Low 3.00

GENERATION/ KWh

COMPARISON WITH RENEWABLE RESOURCES: PARAMETERS CAPITAL COST(Crore/ MW) SOLAR 10-12 WIND 5-6 4.5-6 BIO FUEL 5.5-6.5 5-6 HYDRO 7-8 3-4

COST OF GENERATION (Rs/ 10-12 KWh) PROJECT LIFE (years) GESTATION PERIOD(years) OPERATING COST RISK TECHNOLOGY SITE INFLUENCE DECOMMISIONING COST LEVELLISED COST 25 3-4 High Low Changing High High OF 12

25 2-4 Medium Medium Semi Mature Low Low 5.5

30 4-5 High Low Changing Low High 5

60 5-6 Low Low Mature High Low 3.00

GENERATION/ KWh

Ans3) a) The major advantage of hydroelectricity is elimination of the cost of fuel. The cost of operating a hydroelectric plant is nearly immune to increases in the cost of fossil fuels such as oil, natural gas or coal, and no imports are needed. Hydroelectric plants have long economic lives, with some plants still in service after 50100 years. Operating labor cost is also usually low, as plants are automated and have few personnel on site during normal operation. Where a dam serves multiple purposes, a hydroelectric plant may be added with relatively low construction cost, providing a useful revenue to offset the costs of dam operation. Since hydro electricity has helped in various activities like irrigation it had caused development of the various small industries as well.

b) Besides inundating large tracts of forest ,killing off local wildlife, the dams have the effect of destroying aquatic habitats and affecting fish populations, displacing indigenous peoples, and adding carbon to the atmosphere (as the submerged wood rots). On top of the ecological damage, several projects have silted up from the erosion resulting from deforestation, rendering the dams inefficient. The reduced water flow downstream disturbs riverbeds and affects floodplain farmers who rely on seasonal floods for nutrients to enrich the soil and kill pests. Thus they may turn to pesticides and artificial fertilizers which have their own negative environmental effects. Deltas experience a greater influx of salt water, affecting coastal ecosystems essential to fisheries. Hydroelectric projects are also of concern from a health standpoint because they provide opportunities for the spread of disease-carrying organisms including snails (schistosomiasis/bilharzia) and mosquitoes (dengue fever, yellow fever, malaria). Other issues like reservoirs of power plants in tropical regions may produce substantial amounts of methane. This is due to plant material in flooded areas decaying in an anaerobic environment, and forming methane, a potent greenhouse gas. c) The Major concern about the grid operations is grid instability due to frequency fluctuations. i.e Optimum Grid stability must be maintained between 49.5 MHz and 50MHz. for stable grid operations. In case if a power plants output frequency is more

than the optimum level, it has to adjust itself to grid requirements. The response time of Hydro power plant is very small (less than 1 minute) when compared with thermal power plants (30 minutes- 2 time blocks). Hence hydro acts as a buffer to grid stability. No extra cost is required to rise the generation for peak demand as hydro is fuel cost free. Hence it helps in Grid economy. d) One of the biggest advantage of Hydro is that it not effected by inflation.Where as other sources of power generation such as oil and gas,thermal power,or any other renewable power generation technology is highly effected by the rate of increase in the market price, and are prone for becoming costly at the time of inflation.Hydro on the other hand is resistant to inflation. e) Hydro is of negligible risk when compared with Nuclear power plants as there is no hazardous radioactive emissions. When compared with thermal power plants, it has a slight disturbance as concern with environmental clearance, deforestation, relocation of large volume of people etc. Due to incur of huge capital cost these risks can be avoided if proper planning and detailed surveying is done. f) The pumped-storage hydroelectric plant, is designed to help meet peak power demands during the day. Electrical generators are turned by water flowing from a reservoir on top of Mountain into a lower reservoir on the River. The generators and turbines at river level are reversible, and at low load the excess electricity available on the power grid is used to pump water back to the mountaintop. g) Hydro power generation does not require very high technology so our country dont have to import any equipments and machines from other countries. Once the small hydro or the large hydro dam is constructed it operates for several years without any upgradation in technology. h) The water that is stored for hydroelectricity also helps in water management. The benefits are Storage of water for draught periods, Release of water only during irrigation periods helps in optimum utilisation of water resources. The water released for irrigation is also used for drinking purposes in nearby areas. The construction of dams also helps to develop tourism and can be encouraged to recreational activities. i) Hydro energy is a clean energy which releases almost negligible carbon to the atmosphere. But while manufacturing the equipment and construction of dams certain amount of carbon will be released to the atmosphere. It will become neutralised when hydro

projects start to generate power. It will also neutralise the carbon produced by other conventional energy resources. Hence Hydro acts as a carbon neutralize. j) Energy is Required to Make Use of Water and Water is Needed to Make Use of Energy,this relation is known as water energy nexus. The connection between most energy and water is that water is used to make steam, which spins a turbine, which runs a generator, which creates electricity.Different types of electricity generation require differing amounts of water. Ans.4)If a 210 MW thermal plant is renovated,its derated capacity may be retrieved to 210

MW by itself.But if a 210 MW Hydro Plant is renovated,it can be uprated to 250 MW by permitting higher water velocity levels and hence higher discharge from the same turbine passage, with advancements in Hydrodynamics and Material Technology.

Ans.5) The positive environmental impacts of Hydro projects as follows: Uses renewable and pollution free source i.e water Increase in Agriculture Productivity through development of irrigation and multipurpose schemes, having generation of electricity as one of the objectives, wherever possible and feasible. Avoided Green House Gas (GHG) emissions from equivalent thermal and other fuel based power projects. Involve large scale afforestation activities under various schemes like Compensatory Afforestation, Catchment Area Treatment, Green Belt Development, Voluntary Afforestation etc. which ultimately improve the environmental quality of the project area. Flood Mitigation through large storage dams. Source of Drinking Water.

Ans6)Small Hydro project has the following advantages: It is potential source of power generation, harnessing only gravitational potential of water to make it yield energy in a continuum. Its a proven technology available in the country with very high prime moving and generation efficiencies for their development. These are least dependent on imports

as indigenous technology is available. Setting up small hydro does not require any special geological contribution/ ground conditions. Short gestation period which leads to quicker electricity. Small Hydro are environmentally friendlier than conventional hydro plants. Non-involvement of setting up of large dams and thus not associated with problems of deforestation, submergence or rehabilitation. Non- polluting & environmentally friendly. Least impact on Flora and fauna (aquatic and terrestrial) and bio-diversity. It serves to enhance economic development and living standards especially in remote areas with limited or no electricity at all. It can be tapped wherever water flows along small streams, medium to small rivers, irrigation dam-toe/ canal drop sites etc. Low investment is required which can easily be affordable by private

entrepreneurs.These projects also suit to private entrepreneur due to short gestation period, quicker returns and cheapest operating costs due to low overheads. It facilitates rural mass who have been able to manage to switchover from firewood for cooking to electricity and thereby checking to deforestation. Small hydro is significant for off-grid, rural, remote area applications in far flung isolated communities having no chances of grid extension for years to come. Small Hydro is operationally flexible, suitable for peaking support to the local grid as well as for stand alone applications in isolated remote areas. With the development of small hydro, rural communities have been able to attract new industries, mostly related to agriculture owing to their ability to draw power from SHP stations and ultimately resulting in the development in the area. Small hydro does not require much expertise to build and operate. Components of small hydro projects are so simple and fairly visible at site distinctively that they can become centre of education, local masses can themselves manage it. Capital investment is less in compared to others scheme such as thermal as well as big hydro. On the basis of project life cycle cost in real terms, inflation- free small hydro Becomes several times cheaper than thermal option due to cheaper operational cost and zero cost input. Under Kyoto Protocol, the Small Hydro Project can earn extra revenue through Clean Development Mechanism (CDM).

REASONS UNFAVOURING LARGE HYDRO

Due to the longer Gestation Period, Politicians wont support Large Hydro, as they want the Hydro plant to be commissioned within when they are in power as to take the credits.

Due to Large occupancy of land, there is a need to relocate number of people to construct a large dam. Hence it is not politically viable. Due to construction of Dam, there would be some clearing of forest resources. Hence there is a huge barricade in the name of environmental clearances and forest clearances.

Due to the recent Inter-state water sharing issues, construction of dams will not be welcomed by the people. Due to environmental claim for methane emission, Large hydro still remains as a mystery to non-technical people. Lack of Private participation because of longer gestation period and other issues.