Gujarat govt announces Waste to Power, and Small Hydel Policy 2016

Gandhinagar

The Government of Gujarat today announced ‘Gujarat waste to energy policy 2016’ and ‘Gjarat Small Hidel Policy – 2016’ for power generation through solid waste and water resources.

Sharing details of these policies, Finance Minister Shri Saurabh Patel said, The waste to energy policy will be effective for next five years. Units established in these five years will get benefits of this policy for maximum 25 years. Such projects will be given land for the project on lease for token rate of Re. 1 by respective local body. The project will not attract stamp duty. No tax or royalty by local body will need to be paid. Electricity generated will not attract electricity duty. 50% relief will be given in wheeling charge and distribution loss.

Local body will supply waste for free to power generation project up to the project site. Generic tariff will be decided by Gujarat Energy Regulatory Commission. Competitive bids will be invited by local body for such projects. Applicant seeking lowest viable gap funding per power unit to be sold will be selected for the project.

Gujarat government today also announced Gujarat Small Hydel policy – 2016 for hydro power generation.

As per this policy, upto 25 MW capacity power plants will be set up on dams, canals or rivers in the state. Gujarat Small Hydel Policy – 2016 will be effective for five years. Benefits will be given for maximum 35 years. Power generated will be given total waiver from electricity duty. 50% relief will be given in wheeling charge and distribution loss. 50% relief will be given in additional surcharge and cross subsidy surcharge if power is sold to third party. Power will need to be sold as per prescribed rates.

– DeshGujarat