unsolicited-letter-request-registration-hydro-project-7269-india
Summary
The document expresses concern that royalty payments—defined as the free supply of a portion of generated electricity (typically 13%) to state governments—are not accounted for in IRR calculations for CDM hydro power projects in India. This omission artificially keeps the IRR below benchmarks, as seen in Project 7269 (Small hydro power project by PHPPL).
Key insights
- Royalty payments in India, which often consist of providing 13% of generated electricity for free to the State government, may negatively impact the additionality of certain Clean Development Mechanism (CDM) projects.
- In various large and small scale hydro power projects in India, royalty payments requested by the government in the form of revenue or free energy artificially maintain the Internal Rate of Return (IRR) below the required benchmark because these payments are not included in the IRR calculations.
- The issue of unaccounted royalty payments in IRR calculations is specifically identified in Project 7269, a small hydro power project by PHPPL in India.
Cite the original document
- APA
- Carbon Market Watch (2012). unsolicited-letter-request-registration-hydro-project-7269-india. https://carbonmarketwatch.org/publications/unsolicited-letter-request-registration-hydro-project-7269-india/
- Chicago
- Carbon Market Watch. unsolicited-letter-request-registration-hydro-project-7269-india. 2012. https://carbonmarketwatch.org/publications/unsolicited-letter-request-registration-hydro-project-7269-india/.
- Wikipedia
- {{cite press release |author=Carbon Market Watch |title=unsolicited-letter-request-registration-hydro-project-7269-india |date=17 December 2012 |url=https://carbonmarketwatch.org/publications/unsolicited-letter-request-registration-hydro-project-7269-india/ |access-date=23 October 2026 |via=Climate Insights Directory}}
- BibTeX
- @misc{carbonmarketwatch2012unsolicitedletterrequestregistrationhydroproject7269india, author = {{Carbon Market Watch}}, title = {{unsolicited-letter-request-registration-hydro-project-7269-india}}, publisher = {Carbon Market Watch}, year = {2012}, month = dec, url = {https://carbonmarketwatch.org/publications/unsolicited-letter-request-registration-hydro-project-7269-india/}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }
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