According to national legislation and rules, the studies and steps necessary for the develop- ment of an MHPP do not differ fundamentally from those for a larger project. Whatever the size , similar steps are needed (and often required by many administrations) for small and large hydro. A site has to be found and assessed from different points of view: the potential for electricity production, environmental impacts, conflict with the interests of third parties (fishermen, farm- ers)... What will mostly differentiate an MHPP from a larger scheme will be the degree of detail at which this different steps most be conducted.
Building an MHPP is, despite the limited size of the plant itself, a complex and specialised procedure that must involve engineers, spatial planners and economists in joint work with the promoters, the equipment manufacturers, the local agents, the electricity utility, the public bod- ies involved and the financial institutions.
Providing a detailed guide on how to proceed with the evaluation of this type of project is not an easy task as it depends on the site and on the type of promoter. However a list of topics (tasks) and steps valid for most situations can be proposed.
MAIN TOPICS (TASKS) Related to the site
_ Topography and geomorphology of the site _ Evaluation of water resources
_ Estimation of the generation potential (kW and kWh) _ Basic layout
Related to the technology
_ Hydraulic turbines, generators and control equipment _ Plan for grid connection (including transformer if necessary) Related to the environment
_ Environmental impact assessment and mitigation measures Related to the economic feasibility study
_ Pre-feasibility study _ Feasibility study _ Application for financing
GUIDELINES FOR PLANNING AN MHPP(7)_31 30_(7)GUIDELINES FOR PLANNING AN MHPP
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GUIDELINES FOR PLANNING AN MHPP . . .
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MAIN STEPS IN PLANNING AN MHPP
Since the key aspects of every micro hydropower plant development are similar, the components that follow can act as a rough guide to areas that need be addressed when planning to imple- ment a project.
Site Selection – choosing a suitable site is one of the most important steps in developing a mi- cro hydro project. It provides a starting point for the analysis and determines the feasibility of developing that site.
Choice of Technology – according to the configuration of the site, an appropriate type of turbine - and manufacturer - has to be selected. The complete design of the MHP has to be planned. Plan Development – a business plan should be developed prior to purchasing supplies, hiring staff, starting construction, or simply spending too much money. It will provide guidance on se- lecting the appropriate type of project.
Costs and Financing – it is important to consider project costs when developing a project. The cost of a project is largely dependent on facility size, penstock length, length of transmission lines, site conditions and accessibility. A reasonable cost estimate including development, con- struction and operating costs, is required to determine project feasibility. The scale of a hydro project, even micro, means that most developers have to rely on external financing for a large portion of their project costs. There are a host of requirements for obtaining financing.
Permit Granting Process – there are many different processes involved in obtaining the neces- sary licences, all of which should be carefully addressed and scheduled in order to conduct a successful project. In parallel, it is imperative to make sure that the situation concerning land use rights is clear, as well as securing the right to use the river.
Grid Interconnection and Power Sales – grid interconnection studies as well as the relevant contracts for interconnection, transmission of energy through the power grid, and power sales themselves (PPA) are of course fundamental for the success of a grid connected plant.
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GUIDELINES FOR PLANNING AN MHPP(7)_31 30_(7)GUIDELINES FOR PLANNING AN MHPP
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The licensing process varies greatly from one country to the other, but it generally involves three main branches :
Environmental licensing: this process generally involves at least one environmental impact assessment (sometimes a preliminary assessment is followed by a more in-depth report of planned compensatory measures, and according to the country separate impact assessments might be required for the river itself and for civil works, depending on the relevant administrative authorities). The final license is sometimes given only after the actual implementation has been verified by the environmental agency. In some countries, this process enables the projects to be declared “of public interest”, which offers better guarantees to the developer.
Building licence: this may be attributed at the municipal or regional level, but it nearly system- atically requires an agreement with the municipal authorities, and of course requires that the land rights have been secured. This process often includes a public consultation, in case the environmental licensing doesn’t.
Electrical licence: in the case of a grid-connected project, even if the generation is exclusively for on-site use, the approval of the national electricity regulator is generally required, though simplified provisions might apply for small-sized projects such as MHPPs.
It is only at the end of the complete process that the final operating licence is delivered to proj- ects which have complied with all the different administrative requirements.
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Construction – construction considerations include permits, timing, material supply, environ- mental management plans and construction contracts. Before entering into the final design and building stage of the project, most of the components discussed previously need to be finalized. Before starting construction it is important to consider how the project will be completed and who will coordinate the work.
Operation, Maintenance and Surveillance (OMS) – it is essential for an MHPP project to im- plement correct procedures related to Operation, Maintenance and Surveillance. Who will be responsible for the day-to-day operation of the plant? Is the maintenance guaranteed by the manufacturer? By another specialized firm? Under which type of contract? OMS considerations during the design phase of development should be detailed, and ideas on how to manage OMS during the lifetime of the facility should be presented and analysed.
Local Plan for MHP development – The SPLASH project proposes an innovative approach to planning micro hydropower through the development of local plans. SPLASH local plans help to identify major factors within the decision-making process and show the following advantages: _ Easy identification of the excluded areas for micro hydro power development due to adminis- trative or technical reasons, which will lead to a decrease in risks and in project costs.
_ Better evaluation of the environmental impacts, by the broader scale analysis of the burdens and the potential interactions with the projects.
_ Improvement of the dialogue between stakeholders and the public participation process and coordination with other river uses.
The main feature of the plan is the use of Geographic Information Systems (GIS). It allows one to consider constraints on the area being studied, in order to better understand the issues affect- ing decision making. It takes into account all the relevant parameters of a territory rather than making an analysis of a point in space.
A more detailed description of the local plan is available on the Guidelines and Lessons learned on local planning, another deliverable elaborated during the SPLASH project.
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