The government on Wednesday, April 8, approved two hydro power projects with an investment of over ₹40,176 crore in the country’s Northeast region in a fresh renewable energy push.
The two projects are Kamala Hydroelectric project on the Subansiri river and Kalai-II Hydroelectric project, the first in the Lohit basin of Arunachal Pradesh’s Anjaw district.
The Kamala Hydroelectric project is expected to be completed over a span of nine years with an investment of ₹26,070 crore. Spread across three districts of Arunachal Pradesh — Kamle, Kra Daadi, and Kurung Kumey — the project will have an annual output of 6,870 million units.
The project will be implemented through a joint venture between NHPC Ltd. and the government of Arunachal Pradesh.
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The Kalai-II project, to be built over a period of six years, is estimated to cost around ₹14,106 crore. Once completed through a joint venture between THDC India Ltd and the state government, the project is expected to add 4,853 million units in annual capacity.
Further, Arunachal Pradesh will receive 12% free power, along with an additional 1% free power earmarked for the Local Area Development Fund (LADF).
The NHPC has said that the project is also expected to bring substantial socio-economic benefits to the region through infrastructure development, improved connectivity, employment generation and local area development.
Besides Kamala HEP, three major hydropower projects: Subansiri Lower (2000 MW), Dibang Multipurpose (2880 MW) and Etalin (3097 MW) are being developed by NHPC Limited in Arunachal Pradesh and Assam.
Subansiri Lower HEP (2000 MW) is at an advanced stage with 750 MW already commissioned and remaining capacity is expected to be commissioned by December 2026.
These hydropower projects in the region could prove to be strategically important as China has begun construction of the world’s largest dam over Yarlung Tsangpo river in Tibet, sparking concerns for Arunachal and Assam in the downstream region.
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(Edited by : Shoma Bhattacharjee)
First Published: Apr 8, 2026 5:20 PM IST
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