The Cabinet Council on Economic Relations, directed by the Prime Minister, cleared the funding for the 540 MW Kwar Hydro Power Program. This electric project, which is situated on the Chenab Creek in the Kishtwar region of the Federal State of Jammu and Kashmir, will deliver free power to the residents and create massive job opportunities.
CVPPPL, a partnership between NHPC and JKSPDC, will execute the project. In a year with a 90% uptime, this facility will produce 1975.54 million units.
The Indian government is granting a loan to help the Federal State of Jammu and Kashmir by delivering funding of Rs. 655.08 crore for JKSPDC’s equity investment in CVPPPL.
The Kwar Hydro Power Station will be operational for a period of 54 months. The project’s electricity will help to stabilize the grid and increase the power availability situation.
To make the project sustainable, the state government would exempt the facility from water usage tariffs for a decade after it is completed. NHPC will invest 51 percent of its shares from its own funds.
Repayment of the state’s SGST and incremental waiver of free energy at 2% every year. This suggests that the complementary energy to the Federal State of Jammu and Kashmir should be 2% in the first year after the project’s completion, increasing to 2% per year afterward, and reaching 12% in the sixth year.
The Project’s building efforts will, directly and indirectly, employ about 2,500 people. It will also contribute to the general socioeconomic progress of the Federal State of Jammu and Kashmir.
During the project’s 40-year life span, Jammu and Kashmir will take advantage of free power and water consumption tariffs from the Kwar Hydro Power Station.
The national government, on the other hand, is working hard on other renewables. According to a Fitch Rating assessment, growing sustainable energy capacity development and adoption, as well as government regulatory assistance, will fuel the rise of grid storage in India.
The amount of storage capacity and how it is distributed across technologies will be determined by power demand patterns, power generating composition, particularly the share of different renewable output, and the cost of battery systems, among other factors.
The report also stated that the energy storage market of India will grow rapidly to moderate the increasing unpredictability on both the supply and demand sides of the power grid. Unfortunately, investments in energy storage will be critical in regulating India’s rising energy production.