The cabinet committee on economic affairs (CCEA), chaired by Prime Minister NarendraModi, has approved the investment sanction for construction of 624-MW Kiru hydroelectric project by the Chenab valley power projects private limited (CVPPPL) in Jammu and Kashmir, officials said on Thursday.
The project will be implemented at an estimated cost of Rs4287.59 crore (at July 2018 price-level), an official spokesman said in astatement.
This includes interest during construction (IDC) and foreign component (FC) of Rs 426.16 crore and infusion of equity of Rs 630.28 crore by the national hydel power corporation (NHPC) in CVPPPL, the statement issued by the Press Information Bureau said.
“This includes Rs 70 crore for pre-construction activities already approved by the cabinet while according the approval for execution of the PakalDul hydroelectric project.”
CVPPPL is a joint venture company amongst NHPC, Jammu and Kashmir state power development corporation (JKSPDC) and PTC with equity shareholding of 49 percent, 49 percent and 2 percent, respectively. The project is located on river Chenab in Kishtwar district.
“It envisages construction of a 135-m high concrete gravity dam above deepest foundation level, four circular, pressure shaft of 5.5-m internal dia of length varying from 316 m to 322 m, an underground power house and 4 number of tail race tunnel, horseshoe shape, 7-m dia and length varying from 165-m to 190-m,” the statement read.
“The project shall provide much-needed power in northern grid and shall accelerate process of development of remote areas of Jammu and Kashmir. The project is scheduled to be completed in four-and-a-half years”.
Kiru project is envisaged as a run-of-river scheme, designed in compliance with the requirements of Indus Water Treaty, 1960, with installed capacity 624 MW (4 x156 MW). The project would generate 2272.02 MU in a 90 percent dependable year.
The foundation of the project was laid by Prime Minister NarendraModi on February 3 this year. The government of Jammu and Kashmir has already granted exemption on account of payment of levy of toll tax, state goods and service tax (SGST), waiver of free power in a decremental manner and water usage charges for a period of 10 years from the date of commercial operation.