India needs to add 18 GW hydro power by 2030 to meet HPO criteria

Based on the notified Hydro Purchase Obligation (HPO) criteria and trajectory, India's incremental hydropower generation capacity requirement is expected to be around 18 GW by 2030, which corresponds to a 39 per cent increase over the existing installed hydro base. According to the rating agency, hydro capacity development in the country has been slow due to considerable execution issues, as seen by the incremental capacity addition of around 22 GW between 2000 and 2021, a CAGR of more than 3 per cent in the hydro segment. According to the Ministry of Power, the hydro power purchase obligation for 2021-22 is set at 0.18 per cent, rising to 2.82 per cent by 2029-30 at the national level.