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While the costs of large dams are huge, the benefits are less than projected. Silting of dams<br />

leads to a decline in their actual storage capacity, in many cases severely, due to which the area<br />

irrigated by them decreases. dcxxxi It also results in decreased electricity generation from their<br />

associated power plant. A survey of 208 operational hydel projects in India done by Himamshu<br />

Thakkar of South Asian Network for Dams, Rivers, and People (SANDRP) in March 2007 found<br />

that power generation at 184 of these (88% of those surveyed) was less than the design capacity.<br />

And for 90 of these projects (i.e. for 50% of those surveyed), the actual generation of electricity was<br />

less than 50% of the design capacity! dcxxxii<br />

Therefore, it is not surprising that cost-benefit studies of many large hydro power projects<br />

have found that the benefits are less than the costs! dcxxxiii No wonder that the report of the World<br />

Commission on Dams, which was sponsored by the World Bank, concluded that: “given the high<br />

capital cost, long term gestation period, and the environmental and social costs, hydro-power is not<br />

the preferred option for power generation compared to other options." dcxxxiv<br />

In the light of these facts, the proposal of the government to construct large hydro power projects of<br />

nearly three times the present capacity of 37 GW over the next two decades is going to be<br />

absolutely disastrous, for both the people and the environment.<br />

3. Conclusion<br />

Clearly, then, the government’s plans of setting up giant-sized coal, hydro and nuclear<br />

power plants to produce the electricity required to power India’s future growth:<br />

xii. will not solve the energy crisis of the majority of the Indian people living in the rural areas,<br />

who continue to be without electricity even 60 years after Independence;<br />

xiii. will have unacceptable environmental and social costs.<br />

The question then arises: is there a sustainable solution to this crisis, is there an environmentally<br />

friendly way of meeting the genuine present and future electricity needs of all sections of the Indian<br />

people?<br />

Part III: The Sustainable Alternative: A New <strong>Energy</strong> Paradigm<br />

It is possible to find a way out of this crisis, but that would call for a totally new approach to<br />

energy planning. Firstly, we need to reorient our energy planning towards meeting the energy<br />

requirements of all sections of the population, and not just the energy needs of the elites living in<br />

the cities. The indicator of development must not be statistics showing total energy consumed, but<br />

whether the basic energy needs of the people, starting from the poorest sections, are being met.<br />

Secondly, we need to recognize that what really matters is not how much energy is generated, but<br />

how much of it is finally being converted to work by energy devices (what is called “useful”<br />

energy). This is, we must focus on increasing the services provided by energy, like lighting, heating,<br />

cooling, etc., instead of blindly increasing electricity generation. Finally, the energy supply system<br />

must be environment friendly, we cannot ignore its environmental costs.<br />

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