new delhi, April 8
The Cabinet Committee on Economic Affairs on Wednesday approved an investment of Rs 26,069.50 crore for the construction of the 1,720 MW Kamala Hydro Electric Project in Arunachal Pradesh, a move aimed at strengthening power supply and accelerating infrastructure development in the Northeast. Announcing the decision, Information and Broadcasting Minister Ashwini Vaishnaw said the project, to be developed across the Kamle, Kra Daadi, and Kurung Kumey districts, is expected to be completed within 96 months. “The project will significantly enhance power availability and contribute to national grid stability,” he said while briefing reporters after the Cabinet meeting.
With an installed capacity of 1,720 MW, the project is expected to generate around 6,870 million units (MU) of electricity annually. Officials said the power generated will help strengthen the electricity supply position in Arunachal Pradesh, assist in peak demand management and contribute to grid balancing at the national level. The project is also expected to provide flood moderation benefits in the Brahmaputra valley. The Kamala Hydro Electric Project will be implemented through a joint venture between NHPC Limited and the Government of Arunachal Pradesh. The Centre will extend Rs 4,743.98 crore as budgetary support for the flood moderation component and Rs 1,340 crore for enabling infrastructure such as roads, bridges and associated transmission systems. In addition, central financial assistance of Rs 750 crore will be provided towards the state’s equity share. Highlighting its benefits for the host state, the government said Arunachal Pradesh will receive 12 per cent free power from the project, along with an additional 1 per cent earmarked for a Local Area Development Fund. “The project will bring significant socio-economic benefits to the region, including infrastructure development, employment generation and community welfare initiatives,” an official statement said.
