Govt Approves Two Hydro Electric Projects For Arunachal Pradesh
The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, approved two hydro electric projects (HEP) in the state of Arunachal Pradesh on April 8, 2026. The projects approved are the Kamala HEP in Kamle, Kra Daadi & Kurung Kumey Districts and Kalai-II HEP on Lohit river in Anjaw District, all of them in Arunachal Pradesh.
The total outlay for both HEPs are Rs. 26,069.50 crore and Rs.14105.83 crore respectively.
The Kamala HEP will have an installed capacity of 1720 MW and is expected to generate 6870 million units (MU) of energy while the Kalai-II HEP will have an installed capacity of 1200 MW and is expected to generate 4852.95 MU of energy. Both projects will by implemented through JVs – Kamala HEP will be a JV NHPC Limited and the Govt. of Arunachal Pradesh while Kalai-II will be a JV between THDC India Limited and the Govt. of Arunachal Pradesh.
In both project, the central government will extend budgetary support. For Kamala HEP, the Center will extend a budgetary support of ₹4743.98 crore for flood moderation and ₹1340 crore for construction of roads, bridges and associated transmission system, besides a central financial assistance of ₹750 crore towards the equity share of the state. For Kalai-II, the Center will provide ₹599.88 crore for construction of roads, bridges and associated transmission line, besides a central financial assistance of ₹750 crore towards equity share of the state.
For both projects, the state will receive 12% free power and an additional 1% earmarked for the Local Area Development Fund (LADF), along with significant infrastructure development and socio-economic benefits for the region.
Both projects are expected to improve the districts they are being constructed in, namely Kamle, Kra Daadi & Kurung Kumey in the case of Kamala HEP, and Namsai and Anjaw in Kalai-II HEP.
PM Narendra Modi took to social media site X to laud both the projects, saying they will being integrated development across Arunachal Pradesh.
