US co to develop power project in Sikkim

Hyderabad: Sneha Kinetic Power Company has signed a memorandum of understanding with Synergics Energy Services, a US-based firm specialising in development of wind and hydro power.

According to the MoU, Synergics will help the Hyderabad-based firm in the development of a 96-MW hydroelectric power project on Dikchu river in Sikkim.

“The hydro station will be a run-of-river project, consisting of a small diversion dam, a tunnel and underground power house,” Mr B. Murali Mohan Reddy, Managing Director, Sneha Kinetic Power Projects, said after signing the MoU. The estimated project cost is around Rs 500 crore.

Synergics has completed projects in nine States in the US and 13 countries and has been involved in the Indian renewable energy market since 1996 through its subsidiary, Synergics Hydro India.

The MoU was signed in the presence of the US Assistant Commerce Secretary, Mr David Bohigan, who is leading a US Clean Energy Trade Mission to India.

“The opportunities, economically as well as collaboratively, are unprecedented. The 14 companies participating in this mission offer a variety of innovative solutions, which can boost India’s efforts to meet its massive energy demands while improving the environment,” he said.

The participating companies belong to industry sectors advanced by the Asia-Pacific Partnership on Clean Development and Climate.

According to Mr Bohigan, the energy strategy for a country, or globally, depends on reliable, safe, affordable and diverse energy supplies and nuclear (energy) is a part of this mix.

“We see the nuclear technology market in India is estimated at $100 billion, and a decade from now, the India renewable energy market will be larger than this in any single year. I expect that there will be an increased demand for energy as a country grows,” he said.

Mr Bohigan also said major Indian and American companies are exploring each others’ capabilities on how they can work together in partnerships or joint ventures.

“Solar has a place in the energy mix. The operating costs are tremendously low compared to the traditional fossil fuels. New and creative financing models are required in India to help deploy solar and other renewable energies because the deployment costs are high,” he said.