Centre approves Rs 4,500 crore for hydropower project on Chenab river in J&K

New Delhi, April 27

The Centre has approved

Rs 4,526.12 crore for the 540 MW Kwar Hydroelectric Project on the Chenab river in Kishtwar district of Jammu and Kashmir.

The decision was taken at a meeting of the Union Cabinet chaired by Prime Minister Narendra Modi, Union Information and Broadcasting (I&B) Minister Anurag Thakur told the media.

The minister said, “The Cabinet has approved the construction of 540 MW Kwar Hydroelectric Project at a cost of Rs 4,526.12 crore.”

The project will generate 1,975.54 million units of electricity with 90 per cent dependability in a year. It will be jointly commissioned by National Hydroelectric Power Corporation (NHPC) and J&K State Power Development Corporation (JKSPDC) in 54 months, he added.

The project would provide direct and indirect employment to about 2,700 people and it would be implemented by Chenab Valley Power Projects Private Limited (CVPPPL).

It is a joint venture between the NHPC (51 per cent) and JKSPDC (49 per cent), formed at the initiative of the Jammu and Kashmir administration and the Centre to harness the vast hydro potential of the Chenab. The company was incorporated on June 13, 2011.

It has been entrusted with the construction of hydropower projects on a build, own, operate and maintain (BOOM) basis with an aggregate installed capacity of 3,094 MW.

The Centre will extend a grant of Rs 69.80 crore towards cost of enabling infrastructure and also support the Union Territory by providing a grant of Rs 655.08 crore for equity contribution of JKSPDC (49 per cent) in CVPPPL. The NHPC will invest Rs 681.82 crore from its internal resources.

With the project, the Union Territory will get free electricity worth around Rs 4,548.59 crore during its 40-year life cycle.

Join Whatsapp Channel of The Tribune for latest updates.