Three Memoranda of Understandings (MOUs) for the development of more than 15,000MW worth of hydroelectric projects have been signed between India's government of Arunachal Pradesh and three power sector undertakings.

The MOUs were signed with National Thermal Power Corporation (NTPC), National Hydroelectric Power Corporation (NHPC), and North Eastern Electric Power Corporation (NEEPCO).

NTPC will be implementing Etalin (4000MW) and Attunli (500MW) hydroelectric projects. NHPC will develop Tawang-I (750MW) and Tawang-II (750MW) hydroelectric projects while NEEPCO will take up implementation of the Kemeng-I (1120MW) and Pare (110MW) projects. In addition, NHPC would take up implementation of the Dibang hydro project (3000MW) through a joint venture company between NHPC and the government of Arunachal Pradesh. Furthermore, the Middle and Upper Subansiri projects (1600MW and 2000MW respectively) will also be developed by NHPC after the resolution of certain issues relating to environment and neighbouring states.

Chief Minister of Arunchal Pradesh Shri Geogong said that a unique feature that has been agreed for these projects is the creation of a Local Area Development Trust, which would be set up to take up developmental activities for the people of the affected areas. In addition to the revenues to the State from the 12% free power that each project will contribute, it has been agreed that an amount of 1 paise (US$0.000218) per unit of electricity generated would be contributed by each project to this trust.

Arunachal Pradesh has the highest hydro potential in India, estimated to be over 50,000MW. However, owing to the difficult geographical terrain and the remoteness of potential hydro sites, only 416MW has been developed up to now. Currently, two projects with a total installed capacity of 2600MW are under construction by NHPC and NEEPCO. Thus, about 95% of the hydro potential in terms of installed capacity is yet to be developed.


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