Renukaji dam project promises economic growth to HP, water security to Delhi

The ambitious Renukaji Dam project, envisioned on the Giri river 48 years ago, is poised to emerge as a game-changer, transcending decades of delays. This landmark initiative promises to resolve Delhi’s chronic water shortage while promising sustainable power generation to Haryana, Rajasthan, Uttarakhand, Uttar Pradesh and Himachal Pradesh. In addition to its functional benefits, the dam exemplifies the rare synergy in federal cooperation and political resolve.

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Prime Minister Narendra Modi had laid the foundation stone of this Rs 6,946 crore project on December 27, 2021. With 95 per cent of procedural hurdles already cleared, global tenders will be floated for the project soon. The project cost, factoring a 5 per cent annual escalation, has surged to Rs 8,262 crore. The project is expected to be completed by 2030 and operations to commence in 2032. The project’s progress is critical for Delhi and other areas.

Politically significant

Originally slated to showcase progress before the Assembly elections in Delhi next year, procedural delays have pushed the construction timeline by five or six months. However, intervention by the Prime Minister’s Office (PMO) can help expedite design approvals and issuance of tenders. Both BJP and AAP aim to leverage the dam’s progress as an electoral trump card in the national capital.

Rehabilitation & relief

Local tensions remain high. Critics allege that inadequate efforts have been made for the rehabilitation of displaced families. Activists demand higher compensation that is aligned with the Public Works Department’s estimates, claiming the current compensation is insufficient and unrealistic. However, Harikesh Meena, Managing Director, HP Power Corporation Ltd, refutes these allegations stating that Rs 1,573 crore has already been disbursed as compensation and 90 homeless families have been offered rehabilitation options at designated sites.

Himachal is set to gain 200 million units of electricity worth Rs 66 crore every year, with Delhi funding 90 per cent of the Rs 300 crore cost of the power machinery.

Cultural, strategic legacy

Renukaji, nestled in Sirmaur district hills, holds immense geographical and cultural significance. Named after Goddess Renuka, mother of Parshuram, the area is steeped in religious beliefs. The Renuka Lake, India’s largest natural lake, adds spiritual reverence to the place.

The Rs 8,262 crore Renukaji Dam will store 498 million cubic metres of water, supplying 275 MGD to Delhi and generating 40 MW of hydroelectric power for Himachal. Proposed in 1976, it has overcome decades of environmental and inter-state disputes. A breakthrough was achieved when an agreement to resolve water-sharing issues among six states was signed in January 2019.

Water distribution

Haryana leads with a 5.73 BCM share, contributing Rs 555.95 crore, followed by Uttar Pradesh (3.721 BCM and Rs 361.04 crore), Rajasthan (Rs 108.58 crore), Delhi (Rs 70.25 crore) and Uttarakhand (Rs 30.17 crore). Himachal will receive Rs 36.67 crore. The dam as part of the Pradhan Mantri Krishi Sinchai Yojana will ensure reliable supplies even during lean periods.

Lifeline for Delhi

Delhi’s water demand exceeds 1,200 MGD, often leading to severe shortage during the summer. The Renukaji Dam’s 275 MGD supply will address this gap, stabilising infrastructure development and industrial growth. The Hathnikund and Wazirabad barrages will route the water to the National Capital Region (NCR), Haryana, and Rajasthan.

Despite its transformative potential, the dam project faced delays. Securing environmental clearances required compensatory afforestation and protracted negotiations. Financial hurdles were resolved when the Centre agreed to provide 90 per cent funds under the PM Krishi Sinchai Yojana. Political intervention and robust mediation ensured progress.

Future prospects

The Renukaji Dam epitomises cooperative federalism. For Himachal, it will bring economic growth and energy self-sufficiency while for Delhi, it promises water security. Its capacity to regulate river flow and mitigate flooding highlights its climate-resilient value. A beacon of sustainable development, the dam underscores the synergy of political will and community engagement in tackling complex challenges.

— The writer is a political analyst based in Shimla