57Ministry of Non-Conventional Energy Sources is assigned the business of small hydro power (SHP) upto 25 MW stationcapacity. The Ministry's aim is that out of the total grid interactive power generation capacity that is being installed, 2% shouldcome from small hydro. The SHP programme is essentially private investment driven. Electricity generation from small hydrois becoming increasingly competitive with preferential tariffs and some other concessions. The challenge is to improve reliability,quality and costs. There is need to lower the cost of equipment, increase its reliability and set up projects in areas which give themaximum advantage in terms of capacity utilisation.9.2A series of steps have been taken to promote development of SHP in a planned manner and improve reliability & qualityof the projects. By giving various physical and financial incentives, investments have been attracted in commercial SHP projectsapart from subsidizing State Governments to set up small hydros. Concurrently, efforts are being made to renovate and modernizeold SHP projects and complete languishing projects.Table9.1S.No.Name of StateIdentifiedTotalNumber ofCapacitySitesin MW1Andhra Pradesh286254.632Arunachal Pradesh4921059.033Assam90148.904Bihar92194.025Chhatisgarh174179.976Goa32.67Gujarat290156.838Haryana2230.059Himachal Pradesh3231624.7810Jammu & Kashmir2011207.2711Jharkhand89170.0512Karnataka230652.6113Kerala198466.8514Madhya Pradesh85336.32515Maharashtra234599.4716Manipur96105.6317Meghalaya98181.5018Mizoram88190.3219Nagaland86181.3920Orissa161156.7621Punjab7865.2622Rajasthan4927.2623Sikkim68202.7524Tamil Nadu147338.9225Tripura89.8526Uttar Pradesh211267.06127Uttaranchal3541478.23528West Bengal145182.6229A&N Island66.40TOTAL4,40410,477.34State Wise Identified Small Hydel Sites up to 25 MW Capacity