March 7, 2026

Power and Energy Sector in Uttarakhand

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Power and Energy Sector in Uttarakhand

Power and Energy Sector in Uttarakhand

Power and Energy Sector in Uttarakhand

Power and Energy Sector in Uttarakhand : Uttarakhand is blessed with immense potential for power generation due to its rich water resources and geographical terrain. The state has an estimated hydropower potential of about 27,000 MW, out of which only around 3618 MW has been harnessed so far. Realizing the vast untapped potential that exists, the Government of Uttarakhand has emphasized accelerating hydropower development in the state.

In addition to hydropower, Uttarakhand also has good potential for generation of power from renewable energy sources like solar, wind, biomass etc. The renewable power sector is also being promoted under initiatives of Uttarakhand Renewable Energy Development Agency (UREDA).

This article provides a comprehensive overview of the power and energy sector of Uttarakhand. It covers the following aspects:

Table of Contents

  • Hydropower Potential and Development
  • Renewable Energy Potential and Initiatives
  • Rural Electrification
  • Power Generation Capacity
  • Transmission and Distribution
  • Key Government Policies and Programs
  • Issues and Challenges
  • The Road Ahead

Hydropower Potential and Development

  • Uttarakhand has an estimated hydropower potential of about 27,000 MW as per official estimates.
  • However, only around 3618 MW (13%) has been harnessed so far through various hydropower projects. This indicates the vast untapped potential that still exists.

Major Hydropower Projects in Uttarakhand

Some of the major hydropower projects operating or under development in Uttarakhand are:

  • Tehri Hydro Power Complex (1000 MW) – Largest operational hydropower project in Uttarakhand spanning Tehri and Uttarkashi districts.
  • Vishnuprayag Hydro Electric Project (400 MW) – Operational project on Alaknanda River in Chamoli District.
  • Koteshwar Hydro Electric Project (400 MW) – Operational run-of-river project on Bhagirathi river near Tehri.
  • Srinagar Hydro Electric Project (330 MW) – Under-construction on Alaknanda River in Pauri Garhwal and Rudraprayag districts. To be commissioned by 2023.
  • Tapovan Vishnugad Hydro Power Plant (520 MW) – Run-of-river project under construction on Dhauliganga River by NTPC.
  • Pancheshwar Multipurpose Project (5040 MW) – Proposed bi-national project on Mahakali River bordering India and Nepal. Yet to start construction.

Key Hydropower Development Targets

  • As per the Uttarakhand Power Sector Vision 2022 document, the state has set a target for developing at least 6700 MW of hydropower capacity by 2022.
  • The 13th Five Year Plan also envisages addition of around 3500 MW hydropower capacity in Uttarakhand during 2017-2022 period.
  • Long term target is to tap the full hydropower potential of 27,000 MW in phased manner by 2030.

Issues in Hydropower Development

  • Geological Factors – Fragile Himalayan terrain poses several challenges in construction and operation of hydropower projects.
  • Environmental Concerns – Hydropower projects have adverse impact on local ecology which has sparked protests. Policies are being framed to balance both power needs and environment.
  • Rehabilitation Issues – There are long pending issues related to rehabilitation of project affected people.
  • Time/Cost Overruns – Many under construction projects are delayed and have seen huge cost escalations due to above factors.

Renewable Energy Potential and Initiatives

In addition to large hydropower projects, Uttarakhand also has immense potential for power generation from renewable energy sources like solar, wind, small hydro, biomass etc.

The estimated potential for renewable power generation in Uttarakhand is as follows:

Renewable Energy SourceEstimated Potential
Small/Mini Hydel2000 MW
Solar Energy1664 MW
Wind Energy102 MW
Biomass Energy210 MW

Uttarakhand Renewable Energy Development Agency (UREDA)

  • Nodal agency of State Government to promote renewable energy and energy efficiency.
  • Implements renewable power projects, energy conservation initiatives, energy access programs in rural areas.
  • Key schemes implemented by UREDA:
    • Remote village electrification through decentralized power projects
    • Installation of solar lighting/heating systems
    • Promoting energy efficient appliances & practices through awareness campaigns
    • Renewable energy based rural livelihood programs

Major Government Schemes & Policies

  • Surya Raitha Yojana – Solar pumps for farmers to replace diesel pumps
  • Saur Urja Gram Yojana – Solar mini/micro grid projects for rural electrification
  • Saur Shakti Yojana – Solar rooftops on government buildings
  • Saur Swarojgar Yojana – Entrepreneurship development in renewable energy sector

Rural Electrification

A significant proportion of Uttarakhand population resides in remote rural areas. Providing access to electricity in such areas with sparse habitation and difficult terrain has been a major challenge.

Decentralized Distributed Generation

Decentralized power generation through local Micro/Mini Hydel Projects as well as solar/wind projects has emerged as a suitable solution for electrifying remote villages.

  • 44 Micro/Mini Hydel Projects of total 4.29 MW capacity have been commissioned under remote village electrification program.
  • Over 300 villages electrified through these decentralized hydro projects so far.
  • Solar micro/mini grids are also being set up under Saur Urja Gram Yojana to provide clean electricity access in remote areas.

Rural Electrification Status

  • As per latest available data, 99.9% of Uttarakhand rural households have been electrified.
  • Focus is now on improving quality, reliability and sustainability of supply through decentralized renewable power projects.

Power Generation Capacity

The current installed power generation capacity in Uttarakhand from various sources is as follows:

SourceInstalled Capacity% Share
Hydropower3618 MW88%
Thermal250 MW6%
Renewable Energy (Solar, Wind, Bio)274 MW6%
Total4142 MW100%
  • Hydropower has largest share of 88% in power generation portfolio owing to rich hydro resources.
  • Share of renewables is also increasing with new solar, wind and biomass projects.
  • Thermal power capacity is minimal at just 6% of total.

Transmission and Distribution

  • Uttarakhand Power Corporation Ltd. (UPCL) is the main power distribution utility catering to 96% of consumers.
  • Power Grid Corporation of India (PGCIL) owns and operates most of the inter-state and intra-state transmission network.
  • Significant investments have been made in strengthening the T&D network.
  • “Power for All” scheme launched to provide 24×7 quality power supply.

Investments in Distribution Infrastructure

  • Under Integrated Power Development Scheme (IPDS), Rs 1892 Crores sanctioned for upgrading distribution network.
  • Focus areas:
    • Replacement of old lines
    • Advanced metering
    • Reducing AT&C losses
    • Strengthening substations
  • Will help improve reliability and quality of power supply.

Key Government Policies and Programs

In order to accelerate the development of power sector, various policies and schemes have been implemented by Central and State Government.

At Central Government Level

  • Rural Electrification policies for achieving 100% household connectivity
  • Financial support schemes like IPDS, DDUGJY to strengthen distribution networks
  • Hydro Power Policy 2008 – 10 year tax holiday etc. to promote hydropower
  • Tariff rationalization, UDAY scheme for financial turnaround of DISCOMs

At Uttarakhand Government Level

  • Power Sector Vision 2022 – For capacity addition of 6700 MW by 2022
  • Project Monitoring Group – For fast tracking clearances/approvals of power projects
  • Investor Summit – Showcasing opportunities to attract investments
  • Single Window Portal – For streamlining & fast tracking project clearances
  • Incentives to IPPs – Generation based incentives, capital subsidies etc.
  • Surya Raitha Yojana, Saur Shakti Yojana etc. – For solar energy promotion

Issues and Challenges

While power sector has seen good growth in Uttarakhand, following issues need to be addressed:

Financial Issues

  • High AT&C losses
  • Revenue gap between cost and revenue for DISCOMs
  • Delayed payments from government departments

Inadequate Private Sector Participation

  • Mostly public sector projects. Need to attract private investments.

Time/Cost Overruns in Project Execution

  • Long delays due to land acquisition, environment issues etc.
  • Significant cost overruns increasing power tariffs

Disaster Proneness

  • Hydropower assets vulnerable to disasters like 2013 floods.

Climate Change Impacts

  • Changing river flow patterns, extreme weather events etc.

The Road Ahead

  • Tap full hydropower potential of 27,000 MW in phased manner
  • Attract investments for project executions through enabling policies
  • Promote renewable energy to have optimal clean energy mix
  • Strengthen distribution network and implement power sector reforms
  • Have in place disaster resilient infrastructure and climate adaptation strategies
  • Adopt sustainable models for energy access in remote areas
  • Promote energy efficiency and demand side management

In Conclusion, Uttarakhand has immense potential in both hydropower and renewable energy which needs to be harnessed optimally through a sustainable development approach for securing long term energy security. The roadmap ahead would require enabling policy environment, regular investments, efficiency improvements, resilience building and technological innovations.

What is the estimated hydropower potential in Uttarakhand and how much has been harnessed so far? 

The estimated hydropower potential in Uttarakhand is about 27,000 MW, out of which around 3618 MW (13%) has been harnessed so far.

What are some major upcoming hydropower projects in the state? 

Some major upcoming hydropower projects are Srinagar Hydro Electric Project (330 MW), Tapovan Vishnugad Hydro Power Plant (520 MW) and Pancheshwar Multipurpose Project (5040 MW).

What initiatives has the state taken to promote renewable energy? 

Key initiatives by Uttarakhand Renewable Energy Development Agency (UREDA) include solar pumps for farmers, solar mini/micro grids for rural areas, solar rooftops on government buildings etc.

What are the main issues and challenges facing Uttarakhand’s power sector? 

Key issues are inadequate private investments, time/cost overruns in project execution, disaster proneness of hydropower assets, climate change impacts etc.

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