The news of Hydro being merged with MNRE has to be viewed in the larger scheme of things and the way this Government operates and thinks. It all started with the merging of Coal and Power under one Energy Minister. This signalled that this sector will be put in a fast track growth in May 2014. One could see the results of the action of this move, over the last 20 months or so in the Power Sector.
In Power, most critical sectors have been well taken care of – Coal based plants with Coal availability, Gas Plants with NG/LNG Price pooling, Fast track transmission projects to address the Transmission bottle necks and the Scale of Solar and Wind plans grew 5 times and actions are being taken, UDAY for the distribution efficiency etc.
In this context, Hydro Power, even though was the 2nd largest source of Power generation was one box not ticked for reforms so far! This sector had its own share of problems and the land bill was one of the key drivers for this sector as well. With no hopes of the Land bill now, this sector needs a new and an out of box thinking to unravel its potential.
I see the merging of Large Hydro under MNRE and giving it the required boost as a Renewable Energy as a focused development of Hydro. With accountability comes in more focused results. I hope to see, in the near term, some creative solutions to unlock this sector as well.