All the projects allotted or to be allotted under this policy shall operate on Build, Own, Operate and Transfer (BOOT) basis. The BOOT period shall begin from the Commercial Operation Date (COD) and shall be for 35 years or the life of the project, whichever is earlier. On completion of the BOOT period, the entire project, including its movable and immovable assets, vis-à-vis water structures and power generation shall be transferred, free of cost, to the state govt. 

• Category 1 – Projects identified by MP government.
• Category 2 – Projects identified by the developers. 

• Up to 5 MW - 5% with exemption of a block of 2 years as preferred by developer during the first 7 years of operation from COD.
• Over 5 MW and up to 10 MW - 8% with exemption of a block of 2 years as preferred by developer during the first 7 years of operation from COD.
• Over 10 MW and up to 25 MW - 10% with exemption of a block of 2 years as preferred by developer during the first 7 years of operation from COD.

Developer can sell generated energy to any third party consumer/willing distributor, company, or power trading company,as per MPERC regulations, amended from time to time. 

• Exempted from electricity cess for a period of 10 years from date of commissioning.
• Banking of 100% is allowed, and the developer shall pay 2% of banked energy as banking fees to the DISCOM.
• Third party sale, within MP, shall be allowed as per MPERC regulations issued from time to time.
• Water charges are exempted if there is no consumptive use of water.

Not available

http://www.mprenewable.nic.in/policy.html

http://www.mpnred.com/Images/pdf/Small-Hydro-Power_Policy%202011(English).pdf