Tato-I Hydroelectric Project

Why in news

• The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, on Monday approved an investment of ₹3,689 crore for the construction of two hydroelectric projects in Arunachal Pradesh’s Shi Yomi district. Both projects are expected to be completed within 50 months.

About Tato-I Hydroelectric Project (HEP)

• Project Overview:
  • The Tato-I Hydroelectric Project is located in Arunachal Pradesh’s Shi Yomi district.
  • Approved investment: ₹1,750 crore for construction and infrastructure development.
  • Project completion timeline: Expected within 50 months.
• Energy Capacity and Production:
  • The project has an installed capacity of 186 MW (3 x 62 MW).
  • It will generate approximately 802 Million Units (MU) of electricity annually, contributing to the region's power supply and national grid stability.
• Government Support and Financial Assistance:
  • The Indian Government has sanctioned ₹77.37 crore for enabling infrastructure, including roads, bridges, and transmission lines.
  • Central Financial Assistance (CFA) of ₹120.43 crore has been allocated for the state’s equity share in the project.
• Free Power and Local Area Development:
  • Arunachal Pradesh will receive 12% of the generated power free of charge.
  • An additional 1% of the power will be allocated to the Local Area Development Fund (LADF) for regional development.
• Socio-Economic Impact:
  • The project will create approximately 600 direct jobs (200 in NEEPCO and 400 for contractors) during its construction phase.
  • It will stimulate local economic growth through opportunities in small businesses, tourism, and transportation.
• Infrastructure and Community Development:
  • Around 10 km of roads and bridges will be constructed for local use.
  • Dedicated project funds of ₹15 crore will be allocated for essential facilities such as hospitals, schools, vocational training institutes (ITIs), markets, and playgrounds.
• Alignment with National Initiatives:
  • The Tato-I project supports the Aatmanirbhar Bharat Abhiyan by promoting eco-friendly power generation, energy self-sufficiency, and boosting local enterprises.
  • The initiative aligns with India’s renewable energy and infrastructure development goals.