Hydropower and pumped storage projects (PSPs) are gaining traction as critical sources of flexibility, reliability, and grid stability. This article highlights the initiatives of the North Eastern Electric Power Corporation (NEEPCO), UJVNL, and Gujarat State Electricity Corporation Limited (GSECL) based on insights shared during Renewable Watch’s 23rd Annual Conference on Hydro Power in India…
NEEPCO
NEEPCO continues to expand and strengthen its hydropower portfolio despite significant challenges pertaining to project development in India’s north-eastern region. With a total installed capacity of 2,057 MW, the corporation operates eight hydropower stations, which contribute 1,525 MW, alongside gas-based and solar generation assets. NEEPCO’s hydropower stations are located across Assam, Arunachal Pradesh, Nagaland, and Mizoram. The operational fleet includes the Khandong Power Station and the Kopili Power Station in Assam, the Doyang Hydropower Station in Nagaland, the Panyor Lower Hydropower Station and the Kameng Hydropower Project in Arunachal Pradesh, and the Tuirial Hydropower Project in Mizoram. Several of these assets have undergone renovation and modernisation in recent years, aimed at improving performance and extending project life. The recent commissioning of projects such as Kameng and Pare has added to the corporation’s installed capacity.
Project execution in the north-eastern region continues to pose significant challenges. Remote locations, difficult terrain and dense forest cover require substantial enabling infrastructure. Access roads, bridges, construction power systems, and logistics arrangements for heavy equipment transportation often add to project costs and timelines.
Meanwhile, geological conditions remain a key risk factor. Hydropower projects in the young Himalayan region frequently encounter fragile rock formations, fault zones, tunnel collapses, cavity formation, and heavy water ingress. At the Kameng Hydropower Project, tunnelling works experienced major deviations from initial geological projections, with Class IV and Class V rock formations dominating sections of the headrace tunnel. These conditions led to cavity formation, tunnel deformation, and significant water ingress, requiring staged dewatering and specialised grouting measures. High overburden areas resulted in squeezing effects, necessitating re-mining of tunnel stretches to restore tunnel profiles. The Tuirial project experienced repeated slope failures, ultimately requiring the relocation of the powerhouse and the implementation of slope protection measures.
Natural calamities continue to influence hydropower development. Flash floods, landslides, and extreme rainfall have affected multiple projects during both construction and operation phases. The Kameng project experienced major setbacks due to flash floods, resulting in damage to access roads and construction infrastructure. At the Pare project, repeated flash floods led to overtopping of coffer dams and silt deposition, requiring restoration and clearance works. The Doyang project in Nagaland faced a significant delay when landslides triggered by incessant rainfall blocked the river and inundated the powerhouse during the commissioning stage.Statutory clearances and land acquisition processes pose additional constraints, with environmental, forest and wildlife clearances requiring extended timelines. Land acquisition challenges are especially prevalent in the north-eastern states due to community ownership, poor record-keeping, and title disputes. Moreover, compensation disputes and litigation have slowed progress on several under-construction projects.
NEEPCO’s upcoming hydropower developments include the 240 MW Heo, 186 MW Tato I, and 700 MW Tato II projects in Arunachal Pradesh. These projects are a part of the corporation’s capacity expansion plans and are currently at various stages of development. Alongside these, NEEPCO is implementing mitigation measures aimed at addressing recurring execution risks, which include the use of LiDAR and UAV-based mapping, geospatial analysis for site planning, hydrometeorological monitoring systems and early warning mechanisms for flood risks.
In parallel, stakeholder engagement and resettlement initiatives remain an important component of project implementation. The development of resettlement and rehabilitation model villages, coupled with community-focused programmes, is aimed at reducing local resistance and facilitating smoother project execution. Through these measures, NEEPCO continues to advance hydropower development despite persistent technical, environmental, and regulatory challenges.
UJVNL
Uttarakhand possesses an estimated hydropower potential of around 25,000 MW, of which approximately 17,000 MW is considered environmentally sustainable. In addition, the state’s pumped storage potential is assessed at about 10,000 MW, highlighting its significance in grid balancing and renewable energy integration. Since its formation, Uttarakhand’s installed power capacity has increased significantly. At the time of the state’s formation, the capacity stood at 1,112 MW; it has since grown to 6,125 MW. Going forward, the state has set an ambitious target to reach 17,500 MW of installed capacity by 2047.
Hydropower development in Uttarakhand is shaped by the state’s unique geographical and environmental conditions. The mountainous terrain, glacier-fed rivers, steep gradients, and high forest cover provide favourable conditions for hydropower generation while also posing construction and execution challenges. Project sites are often located in remote and difficult-to-access areas, requiring extensive investments in enabling infrastructure such as roads, bridges, and transmission connectivity. These factors add to both project costs and development timelines.
Natural calamities remain a recurring concern. Events such as floods, cloudbursts, glacial lake outburst floods, and earthquakes have historically affected hydropower projects in the state. Such incidents have led to damage to infrastructure, equipment losses, and construction delays across several projects. These risks are inherent to Himalayan project locations and necessitate continuous improvements in design, planning, and disaster management practices. Environmental safeguards form a critical component of hydropower development in Uttarakhand.
Policy interventions introduced by the state government have supported hydropower development. Measures such as staggered free power obligations, reimbursement of state taxes, mandatory procurement from small hydropower projects, and rationalisation of capacity enhancement charges have improved project viability. Amendments related to agreement durations and promoter equity transfer processes are intended to reduce procedural delays and provide flexibility to developers.
Pumped storage development is guided by the Pumped Storage Projects Policy, 2023. It provides incentives such as discounts on intra-state transmission charges, exemption from free royalty power obligations, and revised water tax provisions. Time-bound processes for land transfer and single-window clearance mechanisms have been designed to accelerate project approvals. Preference provisions for experienced developers have also been included. The pumped storage pipeline currently comprises five projects with a cumulative capacity of approximately 2,650 MW. These include the Lakhwar-Vyasi, Vyasi-Katapathar, Ichari, Kalagarh, and Maneri Bhali projects. Feasibility reports for multiple projects have been prepared, while others are under evaluation. These projects are expected to contribute to peak demand management and renewable energy balancing.
Alongside new developments, UJVNL has focused on renovation, modernisation, and uprating of existing hydropower stations. Renovation works have improved plant efficiency, availability, and operational life without requiring new environmental or forest clearances. Recent outcomes include approvals for stalled projects under policy mechanisms and the allocation of additional small hydropower projects.
GSECL
GSECL’s hydropower assets continue to play an important role in Gujarat’s power system. The state’s conventional hydropower capacity is primarily concentrated in three major projects: the Sardar Sarovar Hydropower Project, the Ukai Hydropower Plant, and the Kadana Hydropower Plant. The Sardar Sarovar project represents the largest hydropower installation in the state, with an installed capacity of 1,450 MW. Developed on the Narmada river basin, it includes two distinct powerhouses: the River Bed Power House (RBPH) and the Canal Head Power House (CHPH). The RBPH comprises six Francis turbine units contributing 1,200 MW, while the CHPH consists of five Kaplan turbine units with a combined capacity of 250 MW. Revival of pump mode operation at the RBPH has been taken up as an initiative to improve operational flexibility. Both powerhouses are operated by GSECL under a long-term operations and maintenance agreement.
The Ukai Hydropower Plant, with an installed capacity of 300 MW, is located on the Tapi river. Commissioned in phases during the mid-1970s, it was developed as a multi-purpose dam supporting irrigation, flood control, and drinking water supply alongside electricity generation. Due to site-specific hydraulic constraints, conversion of the existing Ukai units into pumped storage operation is not considered feasible. The Kadana Hydropower Plant, installed on the Mahi river basin, has a capacity of 240 MW. The project consists of four units of 60 MW each. GSECL has also initiated a phased revival of pump mode operation at the Kadana project, beginning with Unit 1. Orders for refurbishment and related works have been placed with BHEL. This initiative is aimed at enabling storage-based operation and improving system balancing capability.
As Gujarat remains a highly renewable energy-intensive state, hydropower and pumped storage are gaining greater importance. The state is targeting large-scale additions of solar and wind capacity, which are expected to increase variability in the generation mix. PSPs are, therefore, being positioned as a key resource for peak power support, frequency control, and renewable energy balancing. GSECL has identified multiple potential PSP sites, particularly in the eastern region of the state where topographical conditions are considered favourable. Several sites have been reserved through Gujarat Urja Vikas Nigam Limited, while pre-feasibility studies and DPR preparation activities are underway. To support PSP development, Gujarat has introduced a dedicated pumped storage policy. Water availability considerations are particularly relevant given Gujarat’s water-scarce conditions. Transmission connectivity and land acquisition challenges also influence project timelines. GSECL’s ongoing efforts focus on addressing these issues while advancing hydropower and storage development aligned with the state’s renewable energy expansion plans. n
Based on sessions and presentations by Anupam Sharma, Chief Engineer, UJVNL; Debajit Das, Deputy General Manager (Technical), NEEPCO; and Dhruval Sharma, Deputy Engineer, GSEC
