The focus of the Small Hydro Power (SHP) programme in India is on promoting commercialisation and active private sector participation.

An estimated potential of about 15,000 MW of SHP exists in India

The Central Electricity Authority (CEA) has conducted a study for potential sites of SHPs of up to 15 MW in all states

MNES has a database of 4,096 potential sites with an aggregate capacity of 10,071 MW for projects up to 25 MW

In 1989, the total installed capacity of SHPs up to 3 MW capacity was only 63 MW. In just 10 years, this capacity has increased nearly four-fold to 226 MW

SHP between 3-25 MW were brought under the purview of MNES in 1999-2000

India has so far set up 387 SHPs of up to 25 MW capacity totaling 1,341.05 MW. These projects are spread throughout the country in hilly regions as well as on canal drops.

One hundered and seventy projects of 25 MW with a total capacity of nearly 498.28 MW are under implementation. During April-December 2000, SHPs with a total capacity of 72.30 MW were commissioned.

Most SHPs are grid-connected. However, there are some projects which are decentralised and are managed by local community organisations or NGOs

SHPs are developed in the potential regions either by SEBs or the state agencies responsible for SHP development

The 13 potential states which have announced their policies for private sector participation in the SHP sector are Himachal Pradesh, Uttar Pradesh, Punjab, Haryana, Madhya Pradesh, Karnataka, Kerala, Andhra Pradesh, Tamil Nadu, Orissa, West Bengal, Maharashtra and Rajasthan

Thirty-five portable micro-hydel sets of up to 15 kW capacity have so far been installed in Uttar Pradesh, Bihar, West Bengal, J&K, Arunachal Pradesh and Himachal Pradesh. These sets are providing electricity to unelectrified villages and are being maintained by local communities

Recently, a programme on development and up-gradation of water mills has been started by MNES. This would enable the direct use of mechanical power for different applications

MNES is also implementing a UNDP-GEF Hilly Hydro project in 13 states of Himalayan and Sub-Himalayan region

MNES has supported projects at 279 sites of which 54 were sanctioned in 2000 to undertake Detailed Survey and Investigation (DSI)and Detailed Project Reports (DPRs)

Under its scheme of Capital Subsidy, MNES is supporting 91 Demonstration SHPs with an aggregate capacity of 143.23 MW spread over 22 states and UTs. So far, 36 projects aggregating 30.6 MW have been commissioned. Under this MNES has supported six SHPs aggregating 39.75 MW

MNES has launched a Demonstration Project to study the performance of portable micro-hydel sets under field conditions. Fifty portable micro-hydel sets of 5-15 kW capacity have been provided to local bodies/communities in seven states. Of these, 41 sets have been installed

India has a well-established manufacturing base for a full range and type of SHP equipment. There are over eight manufacturers in the country in the field of SHP who are supplying various types of turbines, generators and control equipment.