Arunachal to Launch Two Major Hydroelectric Projects with ₹35,000 Crore Investment

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Arunachal to Launch Two Major Hydroelectric Projects with ₹35,000 Crore Investment

Synopsis

On January 15, officials announced the establishment of two major hydroelectric power projects in Arunachal Pradesh, requiring an investment of ₹35,000 crore. These projects aim to boost local employment and infrastructure, enhancing the region's socioeconomic development.

Key Takeaways

  • Two major hydroelectric projects are set in Arunachal Pradesh.
  • Cumulative investment is approximately ₹35,000 crore.
  • Joint ventures between the state and CPSUs will be formed.
  • Projects aim to generate employment and improve community infrastructure.
  • Policy aims to revive previously stalled projects.

Itanagar, Jan 15 (NationPress) Two significant hydroelectric power initiatives are set to be launched in Arunachal Pradesh with a total investment of approximately ₹35,000 crore, officials announced on Wednesday.

A senior official indicated that in a pivotal move to boost the financial feasibility of large hydropower projects revitalized through Memorandum of Agreements (MoA) with Central Public Sector Undertakings (CPSUs), the state cabinet approved the provision of SGST reimbursement concessions for the Tato-II Hydroelectric Project (700 MW) and the Kamala Hydroelectric Project (1,720 MW).

The Tato-II HEP is situated on the Siyom River in the Shi Yomi district, while the Kamala HEP is on the Kamala River in the Kamle district.

Both projects will be executed through joint ventures between the state government and the respective CPSUs, with the state retaining a 26% equity stake in the JV, as per the official.

According to the official, these two HEPs are part of 13 previously stalled large HEPs revitalized by the state government through the signing of MOAs with four CPSUs in 2023.

He stated that the two HEPs would create substantial employment and self-employment opportunities through infrastructure development and associated services, along with advantages for local communities via improved infrastructure, including roads, healthcare, and educational facilities, promoting long-term socioeconomic development.

The power projects will enhance the skills of local workers, foster a skilled labor pool, and stimulate regional economic activities, thereby contributing to the growth of Arunachal Pradesh and capitalizing on the state's considerable hydroelectric generation potential of 58,000 MW.

The State Cabinet, led by Chief Minister Pema Khandu, also endorsed the Arunachal Pradesh Policy for Restoration of Terminated Large Hydropower Projects under Special Circumstances, 2025. This policy aims to revive halted large hydropower initiatives that have made significant progress at their sites. It intends to create a development-oriented environment through timely project restoration and encourage investments and employment opportunities while enhancing ease of doing business in the state.

The Cabinet also resolved to propose to the Centre the establishment of a 100-seat Medical College and a 420-bed hospital at Namsai under the Aspirational District Programme. This initiative is planned under the Public-Private Partnership (PPP) model and seeks to address the gaps in healthcare services and medical education in the region, with a total project cost of ₹375 crore.