The Ministry of New and Renewable Energy (MNRE) has issued the administrative approval and operational guidelines for implementing the small hydro power (SHP) development scheme for the period FY 2026-27 to FY 2030-31.
The Government approved the scheme in March 2026, with a total financial outlay of Rs 25.85 billion. The scheme targets installation of around 1,500 MW of small hydro power capacity through projects ranging from 1 MW to 25 MW. It will provide central financial assistance to support project development, particularly in hilly and north-eastern states. The scheme also aims to reduce SHP tariffs and support preparation of detailed project reports for at least 200 projects. Solar Energy Corporation of India Limited has been appointed as the national programme implementing agency for the scheme.