To tap the state's solar energy potential, the Uttar Pradesh government is to establish a joint venture company of the Uttar Pradesh New and Renewable Energy Development Agency and National Hydroelectric Power Corporation. According to the official statement released by the State government, it has also been decided that a memorandum of understanding would be signed between the two agencies.
Media reports indicate that the National Hydroelectric Power Corporation (NHPC) has been cautious of clearing cost escalation for various hydel projects anticipating adverse comments from the comptroller and auditor general (CAG) of India. NHPC officials are dragging their feet in clearing cost escalations, which is a common trend in hydropower projects, fearing CAG
Kashmir Economic Alliance (KEA) on May 29 criticised the State government for its failure to take power projects back from the National Hydroelectric Power Corporation (NHPC). Urging government to take back all the NHPC run power projects, KEA said the state water resources were used by other states while Kashmir was reeling under major power crisis.