Chapter-1

Introduction to
Hydropower Development
 Introduction
 Hydropower is the power derived from the energy or falling
or fast-running water which may be utilize for various
useful purposes.
Classification of Hydropower Plant as per Installed Capacity
a) Pico-Hydropower Plant - up to 5 KW
b) Micro-Hydropower Plant - 5KW to 100 KW
c) Mini- Hydropower Plant- >100KW to 1MW
d) Small Hydropower Plant- >1MW to 5MW
e) Medium Hydropower Plant- >5MW to 10MW
f) Large Hydropower Plant- >10MW
Sources of Energy
There are two sources of energy , they are renewable and non-
renewable source of energy.
1. Renewable source of energy:
Energy which is continuously produced by nature and cannot
be exhausted is called renewable source of energy.
a. Solar energy
b. Wind energy
c. Hydro energy
d. Geothermal energy
e. Nuclear energy
f. Tidal energy
Solar Energy
The energy obtained from the sun is called solar
energy. Solar device/solar panels are needed to use the
solar energy.
It can be a good source in rural areas for heating water
and even for lightening purpose.
However, it has some limitation. It is not available
uniformly are all times and all places.
In Nepal, utilization of solar energy is limited to
micro scale users only.
Wind energy
The fast moving wind has a kinetic energy which can be
converted into electric energy by wind mills. It is clean,
cheap, plentiful source of energy.

Hydro Energy
• Hydro is probably the oldest renewable source of energy. It
is environmental friendly, non polluting source of energy.
• However, there is disturbance in aquatic eco-system, fish
migration and upstream submergence of land due to dam
construction.
Geothermal Energy
Enormous heat energy is stored beneath the earth’s
surface. The heat in shallow depths at different parts of
earth can be used for power production, which is
called geothermal energy.
Nuclear Energy
• The energy produced through nuclear fission is called
nuclear energy. It is most powerful kind of energy ever
known. The production of electrical energy is
continuous in a nuclear plant.
Tidal Energy
Tidal energy uses rise and fall of tides to convert
kinetic energy of incoming and outgoing tides into
electrical energy.
The generation of energy through tidal power is
mostly prevalent in coastal areas. Huge investment
and limited availability of sites are few of its
drawbacks.
2.Non renewable sources of energy
Energy which have been stored in nature for millions of
years and cannot be replaced quickly if exhausted are
called non-renewable sources of energy. They are also
called conventional sources of energy.
a. Firewood
b. Fossils fuels
c. Animal waste
d. Agricultural waste
Firewood
It is an important source of heat energy for both
domestic and industrial purpose. In a developing
country, like Nepal, wood is the principal fuel,
especially in rural area. During burning of woods, lots
of smoke is produced which can cause harm to human
health and also causes air pollution.
Fossil Fuels
It is combustible deposits of organic materials from
decayed plants and animals buried inside earth
millions of years ago. Natural coal and oil ( petroleum
products ) are all one sources of energy from fossil
fuels.
Animal Waste
• It is major source of energy in rural part of Nepal.
Cattle dung is used as fuel for cooking and heating.
Handmade and sun dried dung cakes mixed with straw
is very common method.
Agricultural Residue
Agricultural residue can also be used for cooking and
heating purpose. In region where firewood is scare, the
agricultural residue like rice husk, maize stalks etc.
Importance of hydropower
Non-polluting and environment friendly
Low operating and maintenance cost
Energy conversion efficiency is high, nearly 80 to 90%.
Economic source of power
Long span of life
Employment opportunities
Possible to build power plants of high capacity.
Hydropower development in Nepal
1. Historical background :
 First hydropower plant, pharping hydropower plant (500KW).
 It was constructed to supply electricity to Singh Durbar and
Rana Family houses.
 It took  almost three decades before 640 KW Sundaraijal plant
came into operation ., followed by 2400KW Khopari plant that
was commissioned in 1965.
 In 1989, total installed capacity reached about 250MW after
successive plants Kulekhani , Trishuli , Marsyangdi, Sunkoshi
etc.
 In 1996, first tunneling 500KW hydropower  project in Tinau
River at Butwal was commissioned through Butwal Company
ltd.
Present Development
Total Capacity from 101Hydropower projects (above
1MW)=1362.169MW.
Total Capacity from 16 Hydropower projects (below
1MW)=12.236MW
Thermal Power from 2 projects =53.5MW
( Morang-39MW and Makwanpur-14.5MW)
Solar Energy from 3 projects =43.5MW
(Nuwakot-25MW, Rupandehi-8.5MW,Dhanusha-10MW)
Opportunities and challenges of HP
development in Nepal
The opportunities of hydropower development in Nepal have
been listed as follows.
 Abundant Water resources and huge hydropower potential
available.
 Topographical aspect: high head available within short
river length.
 Geographical aspects : Perennial rivers originating from
Himalayas.
 Interest on foreign investors
 High demand in local and regional market
 Environment risk free after construction.
Contd..
The main challenges in hydropower development in Nepal have
been listed as follows.
Improving power system planning
Increasing access to electrification in rural areas
Raising the needed investments for hydropower development
Institutional strengthening of agencies involved in the power
sector
Promoting power exchange and export
Reducing the cost of Hydropower development.
Political instability, poor governance and government
interference.
Difficulty terrains and isolated load centre.
Major institutions related to Hydropower
Development in Nepal
The list of major institutions involved in Nepal are :
1. Ministry of Energy (MoEn)
 Former Minister of Water Resources divided into
Minister of energy and Ministry of Irrigation.
 The Ministry of Energy is the line ministry with prime
jurisdiction and authority over the hydropower sector .
 Responsible for development and protection of Nepal’s
water resources
 The Minster of Energy have been the chairman of NEA
Board of Director.
Contd…
2. Water and Energy Commission and its Secretariat (WEC/WECS)
 Established in 1975 AD to assist government to formulate
policies and strategies for water resources and energy sector.
 Analyzing Bilateral and Multilateral Projects
 Reviewing multipurpose large and medium projects
3. Electricity Tariff Fixation Commission (ETFC)
 Formed in 1944 under Electricity Act,1993
 Review on electricity tariff level
 Fixation of tariff structure
 Fixation of charges for all consumers
Contd…

4. Department of Electricity Development (DoED)

 (DoED) was established on 1993AD under the Ministry of Water
Resources.
 Study and development of multipurpose, bilateral and major
hydropower projects
 Promotion and development of private investment in power sector
including licensing.
 Preparation of standards for transmission and distribution of electricity
and inspection and monitoring for its compliance.

5. Nepal electricity Authority (NEA)

 NEA established under the “ Nepal Electricity Act,1984”
 NEA is responsible for most of the generation, dispatch, transmission
and distribution of electricity of electricity in the country.
 It carries out system planning studies, including demand forecasting
and generation planning.
Contd…
6. Private Sector :
 After the first hydropower development policy was
formulated and made effective in 1992, private sector has
become an important player in hydropower development
in Nepal.
Hydropower Development Policy,2001
 With an aim of developing nation’s vast hydropower
potential to meet electricity need of the country and to
generate export revenue, G.N approved a new
“Hydropower Development Policy,2058 (2001AD) on 15
October 2001.
 It attempts to make hydropower development procedures
simple, clear , investment friendly and transparent for
domestic as well as export purpose.
Objectives
 To utilize the existing water resources of the country and
to produce electricity at a low cost.
 To ensure dependable , reliable and quantity electricity
services within the country at a reasonable rate.
 To tie-up electrification with the economic activities .
 To extend rural electrification to support rural economic
development and
 To develop hydropower as an exportable commodity.
Key Features
 Arrangement has been made to attract private sector investment in
hydropower sector.
 Concept of integrated water resources development and multipurpose
projects are recognized.
 Role of hydropower in rural electrification has been considered. Rural
electrification fund to be set up 1% of royalty received from hydropower
generation to be contributed to the fund.
 Detailed procedures and arrangement made for granting licenses,
production, transmission and distribution. Survey license is granted for 5
years and generation license is provided for 30 years and 35 years for
export oriented and domestic consumption oriented project respectively.
For storage projects, license can be extended up to 5 years. No license
required to generate hydropower up to 1MW.
Contd…
 Incentives to motivate hydropower production for
domestic consumption (less royalty, longer expiration
period of license i.e. 35 years etc.
 Royalty structures set and formulated. Royalty structure
are higher for export oriented projects compared to
domestic consumption.
Hydropower Potential in Nepal
Suitable topographical and geological condition, abundant
water from Himalayas and monsoon water offers
tremendous energy potential for hydropower generation in
Nepal. There are three types of Hydropower potential
which are as follows.
1. Gross Potential (Theoretical) :
It is the power potential of all the surface flow of water( i.e.
theoretical power possible to generate ). The major river
basins are Koshi, Gandaki, karnali and mahakali. The total
power in the river basin can be calculated by using the
following reletion.
Contd…
 P= Σ η γ Q H
100
Where, γ = Specific wt. of water (9.81KN/m3 )
η =overall efficiency
Q= discharge (m3 /s)
H=Total Head (m)
P= Power (KW)
The estimated gross potential of Nepal is 83000MW .
2. Technical Potential
It is the part of gross potential, which can be utilized with
the help of construction of HP stations ( i.e. the power
which is technically feasible)
All the theoretically possible power in nature can’t be
produced due to various constraints like unfavorable
geology, topography, climate conditions, accessibility, etc.
The technical potential of Nepal is 44000MW
3. Economic Potential
It is the part of technical potential use of which is
economically effective with the consideration of fuel
power, balance of region, multi-purpose utilization of
water resources and preserving ecological balance.
The projects are usually considered economically feasible
if,
IRR > Prevailing interest rate
B/C > 1
• The economic potential of Nepal is 42000MW.
Introduction to some large Hydropower
plants in the world
More than 2000 years ago, Greeks used water to turn
water wheels for grinding wheat into flour.
In 2oth century, water power is used for generating
electricity.
World’s first hydropower station in Wisconsin
(12.5Kw) was installed in 1882 AD.
In 1996, hydropower plant established in Hoover dam,
on the Colorado river produces 130MW of power.
List of HP Stations in World