Pump as turbine (PAT) is one of the most affordable and environmental friendly solutions for electrification in rural areas. These plants are usually run-of-river or hill-based, and during monsoon, they experience a lot of unsettled sediments. The detrimental effects caused by hard particles lead to downtime, repairs, and/or the necessity of replacement, which have an adverse impact on power generation. The present paper aims to investigate the influence of various parameters such as silt size, silt concentration, and operating time on the erosion of the PAT impeller. An attempt has been made to derive the correlation of normalized wear for SS304, and two different coatings, i.e., WC-Co-Cr (86/10/4) and Cr3C2-NiCr (75/25). The various costs related to the plant as a result of shutdown, repair, and coatings have been discussed. The present paper discusses different approaches to operate the PAT hydropower plant under a silty environment. An economic analysis has been carried out to compare the cost-effectiveness of each of the operational strategies. The results showed that the WC-Co-Cr coating applied by the high-velocity oxy-fuel (HVOF) technique is the most feasible solution to keep the PAT running efficiently during the monsoon.