The Indian government has approved an investment of Rs 1,810.56 crore for a 210 megawatt (MW) Luhri Stage-I hydro-electric project on river Satluj in Shimla and Kullu districts of Himachal Pradesh.
The power project will be implemented by the Satluj Jal Vidyut Nigam Limited (SJVNL) on the basis of Build-Own-Operate-Maintain (BOOM) over the next five years. The project is expected to generate 758.20 million units of electricity a year.
The Luhri Stage-I hydro-electric project shall be commissioned within a span of 62 months.
“Both the government of India and the government of Himachal Pradesh will offer active support to the project with the former providing a grant of Rs 66.19 crores for enabling infrastructure,” Information and Broadcasting Minister Prakash Javadekar said in an official statement.
According to the statement, the Luhri Stage-I hydro-electric project should be commissioned within 6.2 months.
The power generated from the project is expected to help in supporting grid stability and improving the power supply position.
Besides adding valuable renewable energy to the grid, the project is also predicted to reduce 6.1 lakh tons of carbon dioxide from the environment annually, thus contributing to improving the quality of air.
Moreover, the construction-related activities of the project is foreseen to provide direct and indirect employment to around 2,000 people. This in turn will contribute to the overall socio-economic development of the State.
“And the project affected families will be provided with 100 units of free electricity per month for ten years,” the statement said.
As for Himachal Pradesh, it will stand to gain free power worth around Rs 1,140 crore from the hydro Electric Project, during the project life cycle of 40 years.