After evaluating the present condition of inordinately delayed micro-hydel projects, Himachal government is finally considering the new policy that will allow canceling the project, which are delayed inordinately. The new policy will also include the provision to impose the penalty on project holders. Secretary power, Deepak Shanan asserts it and he also said about the provisions in the policy. Fine structure for the big project is already been implemented as they are bound to pay Rs 10,000 per MW per month to the Himachal government and Shanan said that policy will now be implemented on micro-hydel projects also.

The government had started a policy to allot micro-hydel projects up to 5 MW to residents of the state. As per the policy, about 624 micro-hydel projects had been allotted to the Himachali resident, whereas only 24 are completed yet and others have no clear statue.