GURGAON: Project Monitor reported that Punjab that has taken rapid strides in the development of biomass based power project is also seen pursuing small hydropower projects in a significant way.

Senior officials of nodal agency Punjab energy development agency said that during the ongoing 11th Plan period ending March 2012, the state expects to add 34.5 MW new capacity through small hydropower projects.

PEDA officials said that Punjab has a total potential of 140 MW through small hydropower projects against which 29.55 MW capacity is under operation. Punjab does not have a separate state government agency for implementing small hydropower projects. Punjab State Electricity Board implements small projects downstream of large hydropower schemes. To boost the sector, private participation is being elicited for micro and mini hydropower schemes. The entire 34.5 MW that is currently under construction and targeted to commission before March 2012 is through private entrepreneurship with projects being offered on BOOT basis under a 30 year concession period.

In a significant development, the foundation stone for 5 canal based power projects aggregating around 8 MW was laid last month in Ludhiana district. These projects coming up on the Abohar Branch Canal will be developed by Gurgaon headquartered Polyplex Corporation Limited.

A senior official said that a special purpose Abohar Power Generation Private Limited has been formed to implement the 5 projects namely Khanpur, Sidhar, Akhara, Gholian and Channowal.

He said that “Digging work has started on all sites and the projects will be commissioned during 2009-10. For polyester film maker Polyplex which is now aggressively growing in the renewable energy space these projects will further the company's presence in Punjab. The group already has 6 operational small hydropower projects aggregating 8 MW in Punjab, besides some other construction. The official added that while 3 operational projects Salar, Dolowal and Bhanbhura are being managed by Punjab Hydro Power Private Limited another special purpose vehicle Kotla Hydro Power Private Limited is implementing three schemes Babbanpur, Killa and Sahoke.