This is the text of the presentation made to the ‘World Commission on Dams’ during its first public hearing in Colombo, Sri Lanka. The paper analyses conventional claims and the logic underlying the current emphasis on large hydro projects. It also demonstrates how large hydro should not be a priority for power sector in India and emphasise on the need of all-out efforts for tariff rationalisation and capturing benefits of IRP/DSM as the initial steps for addressing the prevailing crisis