The Chief Minister's Office of Uttarakhand announced on Sunday, 19 July 2026 that Chief Minister Pushkar Singh Dhami met Union Power Minister Manohar Lal Khattar in New Delhi to discuss the state's energy requirements, hydropower projects, pumped storage, battery storage, and a major ADB-funded transmission project.

Context

At the meeting, CM Dhami thanked the Union Power Ministry for its ongoing support in supplying additional power from the central pool to meet Uttarakhand's seasonal electricity needs. He flagged that the Meteorological Department's forecasts point to potential El Nino (El Nino) conditions, reduced rainfall, and low reservoir levels that could hurt hydroelectric generation in the coming months. Compounding the situation, the Char Dham Yatra and the upcoming Kanwar Yatra pilgrimages are expected to drive a sharp rise in electricity demand.

Against this backdrop, Dhami formally requested 150 megawatts of additional power from the central pool for the remaining period of July 2026 and 200 megawatts for August 2026. He also sought special financial assistance for hydropower projects in Uttarakhand on the lines of what is extended to north-eastern states.

Policy Backdrop

India has long maintained a policy of allocating surplus power from the central pool to states facing seasonal shortfalls, particularly during peak summer months and high-footfall pilgrimage seasons. Uttarakhand, classified as a special-category Himalayan state, has historically been eligible for differentiated financing ratios — notably the 80:20 pattern — in multilateral-funded infrastructure projects, which preserves its fiscal advantages.

On pumped storage, CM Dhami requested ₹7,800 crore in central financial assistance or Viability Gap Funding (VGF) over the next five years to develop approximately 10 gigawatts of pumped storage capacity in the state. He also sought an upward revision of the approved Battery Energy Storage System (BESS) capacity from 500 megawatt-hours to 665 megawatt-hours, along with proportionate VGF support, citing grid stability needs.

Stakeholders and Impact

The most consequential item on the agenda was the PTCUL (Power Transmission Corporation of Uttarakhand Ltd.) transmission project backed by the Asian Development Bank (ADB), valued at ₹3,638.26 crore (US $425.78 million). Of this, ₹2,910.61 crore (US $340.62 million) is proposed as an ADB loan. Dhami urged that the original 80:20 ADB loan-to-counterpart funding ratio be maintained, warning that any shift — such as capping ADB's share at 60 per cent as suggested — would erode the financial benefits Uttarakhand receives as a special-category state.

He noted that the Central Electricity Authority (CEA) has already certified the project as technically sound, and the Power Ministry itself has raised no objection to ADB assistance. Ordinary residents, pilgrimage tourists, and the state power utility all stand to benefit from a stable, well-funded transmission backbone.

What's Next

Union Power Minister Khattar assured CM Dhami that positive action would be taken on all proposals placed before him. The immediate watch-points are the Power Ministry's decision on the 80:20 ADB loan pattern for the PTCUL project and any formal allocation of central-pool power ahead of the peak demand months. Dhami expressed confidence that Uttarakhand's hydropower potential would play a key role in realising Prime Minister Narendra Modi's vision of a 'Viksit Bharat' and energy self-reliance, adding that central support would give fresh momentum to the state's energy sector, infrastructure, and sustainable development.