PRESENTATION ON

Implementation Cycle of Hydro

Projects
By
S. JAVED MOHSIN
28th January 2014
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Project Implementation Cycle

Broad steps in Project Implementation Cycle:
PROJECT CONCEPTUALIZATION
PROJECT PLANNING
PROJECT CONSTRUCTION REPORTS PREPARATION
PROJECT CONSTRUCTION AND MONITORING

PROJECT CONCEPTUALIZATION
Activities involved in Project Conceptualization:
Project Identification.
Project location.
Preliminary assessment of Environmental Issues.
Review of available secondary data.
Preliminary cost-benefit analysis.
A PRE-FESIBILITY REPORT IS THE OUTCOME OF THIS STAGE.

PROJECT PLANNING
Activities involved in Project Planning:
Planning and Collection of Hydro-Meteorological data.
Undertaking Topographical Survey.
Undertaking Geological Investigations.
Undertaking Construction Material Investigations.
Preliminary Power Potential Studies.
Preliminary Power Evacuation studies
Identification of beneficiaries.
Preliminary Design of Structures.
Preliminary Cost Estimate and Financial Analysis.
A FESIBILITY REPORT IS THE OUTCOME OF THIS STAGE,
BASED ON WHICH CEA ACCORDS COMMERCIAL VIABILITY .
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PROJECT CONSTRUCTION REPORTS

PREPARATION
Reports/Documents required under this stage:
I)

Detailed Project Report

II)

Environmental Reports

III)

Power Purchase Agreement

IV) Funds tie-up and Financial Closure

V)

Bid Documents
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DPR Preparation
I) Activities involved in DPR Preparation:

Detailed Hydrological studies.

Detailed

Topographical

Survey

for

Bid

level

drawings.

Detailed Geological Investigations for Bid level

drawings.

Undertaking Construction Material Investigations.

Final Power Potential Studies.

Detailed Power Evacuation studies.

Bid level Design of Structures.

Cost Estimate and Financial Analysis.

Environmental Reports
II) Activities involved in Environmental Reports
Preparation:

Preparation

of

Bid

documents

for

appointing

Consultant.

Finalization of Environmental Impact Assessment and

Environmental Management Plan Reports.

Presentation at MOE&F and their approval.

Preparation

of

Forest

Diversion

Proposal

submission to State Govt.

Joint Survey with State govt.

Obtaining MOE&F clearance for Forest diversion.

and

Power Purchase Agreement

IV) Activities involved in drawing of PPAs
Obtaining Statutory Clearances like TEC, Environment
and Forest Clearances etc.
Concurrence from various Regional Electricity Boards.
Power Evacuation and its tariff.
Tie-up with any Power Trader may help.
Long term PPAs and Merchant Power.
Financial Closure.

Financial Closure
III) Activities involved in Financial Closure
Obtaining Statutory Clearances like TEC, Environment
and Forest Clearances and other statutory clearances.
Letter of Comfort from beneficiaries, PPAs etc.
Power Evacuation system.

Bid documents preparation and

Award of work.

V) Activities involved in Contract Award.

Preparation of Bid documents involving the site officers.

Pre-qualification of bidders.
Adoption of equitable Contractual Clauses.
2-Part Contract Award Procedure.
Evaluation of Bids to be completed before PPA.

SHOULD WE ADOPT FIDIC SYSTEM OF CONTRACT

DOCUMENT ?
SHOULD WE GO IN FOR TURN-KEY CONTRACT ?
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Project Construction
Some important aspects of Project Construction :
Development of Initial Infrastructure for the Contractor.
Procurement of some critical machineries and issuance of
same to the Contractors.
Firm tie-up with State govt./Contractor/Other authorities
for Construction and Maintenance of Approach Roads.
Practical and Strict Project Monitoring System with
weekly reviews with the Contractors. Use of Modern
software like Primavera.

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Thank You
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