Govt to roll out hydropower policy to promote clean energy, eco-tourism

Srinagar, July 27: With a major step towards realizing its immense hydroelectric potential and drawing in private investments, the Jammu and Kashmir government will soon introduce a new hydropower policy to fill the state’s power deficit while ensuring sustainable development and tourism. ‘Jammu and Kashmir State Hydroelectric Projects Development Policy 2025’ comes with the vision of transforming the state into an investor-friendly destination, bringing it at par with forward-looking states of Himachal Pradesh and Uttarakhand.Jammu and Kashmir is estimated to have hydropower potential of close to 18,000 MW, a largely under-exploited resource. The new policy is set to provide opportunities for private sector players through more transparent and streamlined processes, inviting participation through Independent Power Producer (IPP) and Public-Private Partnership (PPP) modes. By doing away with the earlier restrictions in the form of domicile conditions and water usage fee for non-consumptive purposes, the government wants to unlock big opportunities for developers and investors alike.One of the highlights of the policy is the extent of the incentives available. Small and medium hydro project developers will be well-served by the J&K Industrial Policy 2021-30, with up to 100 MW projects falling under the PPP and IPP regime. The government will also enjoy the first right of refusal in terms of power from projects of over 25 MW. Also, these are given a provision of 12% free power to the government for a contract period of 40 years for smaller plants (up to 25 MW) and reduced power rates for the initial ten years for larger projects.The new policy also aligns with Jammu and Kashmir’s vision for sustainability and conservation. Care is being taken not to utilize fertile agricultural land and to reduce displacement while developing hydroelectric infrastructure.Secretary of Science & Technology Shahid Choudhary stated that this is not merely a policy for generating power but a roadmap for clean, inclusive, and technology-based energy development.While elimination of water usage fees, once a major source of revenue for the Union Territory has raised some eyebrows, officials feel that the ultimate advantage of private investment and enhanced availability of energy will take precedence over the short-term financial loss. The deficit due to non-payment of water charges is currently estimated at between ₹250 to ₹350 crore per annum. Yet, the policy is considered an investment strategy to lure investors and lower power shortages, particularly in peak seasons.In a new departure, the policy also delves into synergies between hydropower and ecotourism. With the scenic beauty and river network of Jammu and Kashmir, catchment areas around hydroelectric plants can develop centers for water sport adventure like kayaking, rafting, and birdwatching. Such activities not only add to the tourist experience but also create livelihood opportunities for people living in the vicinity.The Hydropower Policy 2025 is a new milestone in the development journey of Jammu and Kashmir. With the adoption of clean energy and eco-tourism, the state is making itself a model of sustainable progress. The policy not only serves the immediate need for power but also enhances the tourism potential of the Union Territory providing a blueprint for balanced development that can be emulated by others.