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In India, hydropower projects under 25 MW capacity are classified as small projects. The potential of small hydropower in India is estimated to be 20 GW. Against an installation target of 5 GW by 2022, 4.6 GW has been achieved. Further, 109 projects of a total capacity of 0.54 GW are under various stages of implementation [6]. To set up the small hydropower and speed up its development, both the public and private sector’s participation is encouraged by MNRE, providing them with central financial assistance (CFA). The state government has also been provided with financial support to identify the potential for new sites, and also for renovation and modernization of old small hydropower projects. The states with the maximum hydro potential (i.e., Karnataka and Himachal Pradesh) are now the focal point for small project development.

Table 2.1 Installed capacity and untapped potential of RE against the estimated potential in India as on 31/12/19 [3, 17, 18].