Union Cabinet approves investment of Rs. 5281.94 crores for 850 MW Ratle Hydro Power Project in J&K
The Lieutenant Governor of J&K, Manoj Sinha thanked PM Modi for approving the project and termed it as a historical decision for making J&K a power surplus.
The Union Cabinet gave its approval on January 20, 2021, to an investment of Rs. 5281.94 crores for 850 MW Ratle Hydro Electric Project. It is located on river Chenab in Kishtwar district, Jammu and Kashmir.
The project is a by a new Joint Venture Company which is to be incorporated between Jammu and Kashmir State Power Development Corporation Ltd- JKSPDC and National Hydroelectric Power Corporation- NHPC with an equity contribution of 49% and 51%.
As per the official release, the Ratle Hydro Electric Project will be commissioned within a span of 60 months. The Lieutenant Governor of J&K, Manoj Sinha thanked PM Modi for approving the project and termed it as a historical decision for making J&K a power surplus.
LG @manojsinha_ holds Press Conference; announces approval of 850 MW Ratle Hydro Electric Project (HEP) by Union Cabinet today chaired by Prime Minister Narendra Modi;terms it a historic milestone for making J&K power surplus UT— DIPR-J&K (@diprjk) January 20, 2021
Watch Vedio Here👇 https://t.co/51rNHMMtvV
Significance of Hydro Power Project:
• The power generated from the Ratle Hydro Electric Project will improve the power supply position.
• The construction activities in the project will also result in direct indirect employment for around 4,000 individuals.
• It will contribute to the overall development of UT Jammu & Kashmir.
• The region will also be benefitted by getting free power worth Rs. 5289 crores and levying of water usage charges worth Rs. 9,581 crores during the project life of 40 years.
Government supporting Joint Venture Company:
According to the official release, the central government has also been supporting the Union Territory of Jammu and Kashmir by providing a grant of Rs. 776.44 crores for an equity contribution of Jammu and Kashmir State Power Development Corporation Ltd in Joint Venture Company- JVC that will be set up for constructing Ratle HE Project (850 MW).
National Hydroelectric Power Corporation will be investing its equity Rs. 808.14 crores from its internal resources.
The Ministry of Power and Ministry of Skill Development, in order to train people, has also proposed to set up training centres near the project sites in the collaboration with NHPC Ltd so that they can work in the announced projects.