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This is an archive article published on November 28, 2008

Renuka Dam to take payment for eco-services

Payment for use of eco-services like water has now become a reality in Himachal. The upcoming multi-purpose Renuka Dam, that will quench the thirst of millions in Delhi and produce 40 mega watt electricity for Himachal...

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Payment for use of eco-services like water has now become a reality in Himachal. The upcoming multi-purpose Renuka Dam, that will quench the thirst of millions in Delhi and produce 40 mega watt electricity for Himachal, is the first project in the state where use of water by the beneficiaries will attract a new kind of cost.

This cost, Payment of Eco-System Services (PES), will be used for conservation of the natural resources in catchment areas. Officials say the Catchment Area Treatment Plan for Renuka Dam is estimated at Rs 75 crore. Of this, 10 per cent will be taken as PES, and spent on sustaining the livelihood of people living in catchment areas, so that the source of water is not disturbed.

This fund can also be seen as compensation to the people of these areas, who may have to sacrifice development for conservation of natural resources. In order to determine a value for the exploitation of its renewable energy sources for development, Himachal had set up the country’s first Eco-Services System Cell in August this year. Chief Conservator of Forests JS Walia is looking after it. The cell has now taken up its first project to identify the villages and communities in the catchment areas of the upcoming Renuka Dam reservoir.

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Speaking to The Indian Express, Walia said that the services of a consultant firm have been hired to carry out ‘scoping’ of the catchment area of the dam. A detailed study of the villages and communities residing in the area, and their activities pertaining to agriculture, horticulture or livestock rearing is being taken up.

The report will be submitted in a month to the Eco-Services System Cell.

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