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Hydro-Power is a renewable, economical, non-polluting and environmentally benign source of energy. Hydro-Power stations have the inherent ability for instantaneous starting, stopping, load variations, etc. and help in improving the reliability of power systems. There is no fuel cost during the life of the project as hydropower generation is a non-consumptive use of water. The benefits of hydropower as a clean, environment friendly and economically attractive source of energy have been sufficiently recognized. The need for it’s accelerated development also arises from its capacity of enhanced system reliability and economics of utilization of resources. Environmental impacts of Hydro-Power plants are very different from those of fossil fuel power plants.

Some of the advantages of Hydro-electric power plants are enumerated below:
  • A renewable source of energy - saves scarce fuel reserves.
  • Non-polluting and hence environment friendly.
  • Long life - The first hydro project completed in 1897 is still in operation at Darjeeling is still in operation.
  • Cost of generation, operation and maintenance is lower than the other sources of energy.
  • Ability to start and stop quickly and instantaneous load acceptance/rejection makes it suitable to meet peak demand and for enhancing system reliability and stability.
  • Cost of generation is free from inflationary effects after the initial installation.
  • Storage based hydro schemes often provide attendant benefits of irrigation, flood control, drinking water supply, navigation, recreation, tourism, pisciculture etc.
  • Being located in remote regions leads to development of interior backward areas. (Education, medical, road communication, telecommunication etc.)