Micro hydro plant must be technically feasible, economically viable, environmentally sound and socially acceptable. To ensure that the plant is technically, economically, environmentally and socially feasible various pre-feasibility and feasibility studies are conducted by team of experts together with local representative before the implementation work begins.

Pre-feasibility Study

First and foremost, District Energy Situation Report is prepared by DDC: REDS. In the report, all available data about energy resources, consumption pattern and technologies from primary and secondary sources are compiled and the potential areas for rural energy systems development are identified. Based on the report, VDCs are short-listed for implementing micro hydro schemes.

Criteria for the selection of VDCs

1. Favorable geophysical conditions for micro hydro installation.
2. Far away from grid supplied electricity
3. Commitment of the VDC and communities

VDCs are ranked and top 15 to 20 potential VDCs are screened for further consideration. Preliminary field survey is conducted in the short-listed VDCs to verify the secondary information, conduct preliminary survey for micro hydro and interact with the communities to ascertain their commitment.

Selected sites are also evaluated based on the following criteria:

1. Power Output: Power output in the range of 15 to 25 kW is preferred.
2. Cost of the Scheme: Preference is given to scheme whose per kW non local cost is estimated to be around NRs.1,50,000. Besides subsidy per HH should not exceed NRs.8,000.
3. Technical Features
4. Community Contribution: Beneficiary communities’ strong commitment to contribute in the form of voluntary labor, local material and cash.
5. VDC Contribution: VDCs investment of a minimum of 5% of the non local cost in the micro hydro scheme.

Top four/five VDCs are selected for implementation of MH scheme.

Feasibility Study

For the MH scheme with expected power output of less than 20 kW, normally the feasibility study and design is undertaken by DDC: REDS itself. Expert services are sought to assist DDC: REDS if required. For the MH scheme with expected power output more than 20 kW, a pre-qualified consultancy firm with multidisciplinary team of experts undertake the task. Feasibility study includes identification of suitable locations and alignments for intake, forebay, powerhouse and canal, measurement of parameters like water flow and head, availability of construction materials and skilled manpower, identification of potential load centers and load demand, identification of best distribution alignment, socio-economic conditions, potential end uses and use patterns and other environmental considerations as well as cost estimates of the scheme.

Environment Assessment

A separate Environment Assessment (EA) report of each MH scheme is prepared by DDC: REDS. An EA report includes information on the existing environmental and natural resource and the anticipated changes that installation of MH scheme may cause. The report identifies potential environmental impacts and recommends mitigation measures.

A public hearing participated by at least on male and female from all potential beneficiaries’ households has to be organized to finalize Detailed Project Report. That consist of a technical report, an EIA report and a Vulnerable Community Development Study Report study (VCDP) report.

Technical Review Committee

Technical Review Committee (TRC) is setup at the central level to review. It recommends modifications and approves technical as well as financial social and environmental viability of potential MH schemes by DDC: REDS. No MH scheme forwarded gets support from REDP without approval by TRC.