NHPCNSENHPC Limited· PowerHighPositive
Announced Wed, 8 Apr · 17:46 IST

NHPC Limited has informed the Exchange regarding 'In compliance to Regulation 30 of SEBI LODR, Investment approval for 1720 MW Kamala Hydro Electronic Project by CCEA is submitted. The details given in the attached letter.'

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AI summary

The Cabinet Committee on Economic Affairs (CCEA) has approved NHPC's investment of ₹26,069.50 Crore for building the 1720 MW Kamala Hydro Electric Project in Arunachal Pradesh. The project will have 8 units of 210 MW and 1 unit of 40 MW, expected to generate 6,870 million units of energy annually. It will be executed as a joint venture between NHPC and the Government of Arunachal Pradesh. The Centre will provide ₹4,743.98 Crore for flood moderation, ₹1,340 Crore for roads, bridges and transmission infrastructure, and ₹750 Crore as central financial assistance for the state's equity. The project has a 96-month (8-year) completion timeline.

Likely market impact

This significantly expands NHPC's hydro portfolio and long-term revenue potential, but the 8-year execution period means benefits are distant and carry typical hydro project risks. Substantial government budgetary support eases the financial burden on NHPC's balance sheet.