TN: GECL to be nodal agency for small hydel power projects

Chennai: Tamil Nadu Green Energy Corporation Ltd (TNGECL) will serve as the nodal agency for implementing the new small hydel power projects of the state government.

As per the new small hydel power project policy of the government small units of 5 MW each can be developed which can lead to an increase in energy production in the state.

This will lead to minimal environmental impact while providing a reliable and sustainable energy source for the state and will support private developers to establish small hydel projects.

An official said that this would lead to attracting private sector participation through incentives and supportive measures, driving the growth of small hydel infrastructure in the state.

He said that the state government is trying to increase its volume of renewable energy and would allow private developers to establish small hydel projects for self-consumption (captive use), third-party sales within the state, and sales to distribution companies (Discoms).

“This will help the state to meet the Renewable Power Purchase Obligation (RPO) as specified by the Tamil Nadu Electricity Regulatory Commission (TNERC),” the official said,

As per the new small hydel policy formulated by the Tamil Nadu Green Energy Corporation Ltd (TNGECL) any individual, company, or association - whether incorporated or not - is eligible to set up small hydel projects for captive use.

The policy emphasises that the small hydel projects would be allocated through an Expression of Interest process every six months.

The TNGECL also said that as per this policy, Tamil Nadu aims to harness the potential of small hydel projects to enhance energy security, support rural development, and contribute to a sustainable energy future.

The small hydel power projects are aimed at promoting renewable and clean electricity by encouraging the development of small hydel projects on canal systems, rivers, and streams, tapping into previously unused clean energy sources.

Tamil Nadu has renewable energy pegged at 22 per cent of its total power generated and the state government is planning to increase it to 50 per cent of the total energy generated by 2030 so that the carbon footprint requirements are met.