Empowering Jammu and Kashmir

Successful diversion of Chenab River achieved at Ratle Hydro Electric Project in J&K; River diversion to expedite construction of dam

A major milestone has been achieved at the 850 MW Ratle Hydro Electric Project in Jammu & Kashmir, with the diversion of Chenab river through diversion tunnels at Drabshalla in Kishtwar district, at 11.30 A.M. on January 27, 2024.

The river diversion will enable isolation of the dam area at the river bed for starting the critical activity of excavation and construction of the dam. It will expedite project construction activities and help in minimising delays so as to facilitate all efforts being made by the project to meet the scheduled commissioning date of May 2026.

The River Diversion ceremony was inaugurated by CMD, NHPC Shri R.K. Vishnoi and witnessed by Principal Secretary (PDD), Government of J&K, Shri H. Rajesh Prasad; Chairman, RHPCL, Shri I. D. Dayal; MD, JKSPDC, Shri Pankaj Mangotra; Directors of NHPC; CEO, RHPCL, Sh. A.K. Nauriyal and other officials from NHPC and Govt. of J&K.

The Ratle Project is being executed by Ratle Hydroelectric Power Corporation Limited (RHPCL), a Joint Venture of National Hydroelectric Power Corporation (NHPC) and Jammu & Kashmir State Power Development Corporation Ltd (JKSPDC) with equity contribution of 51% and 49% respectively.

Ratle HE project is situated on River Chenab in Kishtwar District of J&K with installed capacity of 850 MW.

The sanction of Cabinet Committee on Economic Affairs under the chairmanship of Prime Minister Narendra Modi was given to go ahead with this project in January 2021 , at a total cost of Rs. 5281.94 crores.

The central government is supporting the Union Territory of Jammu and Kashmir with a grant of Rs. 776.44 crore for JKSPDC’s equity contribution. NHPC will invest Rs. 808.14 crore from its internal resources. The Ratle Hydro Electric Project is expected to be commissioned, as already noted, in May 2026 contributing to grid balancing and improving the power supply position.

To enhance the project’s viability, the Government of the Union Territory of Jammu and Kashmir will provide exemptions from water usage charges for 10 years post-commissioning.

Additionally, there will be reimbursement of the State’s share of GST and a gradual waiver of free power to the Union Territory, starting at 1% in the 1st year after commissioning and increasing by 1% per year to reach 12% in the 12th year.

The implementation of the Ratle Hydro Electric Project is poised to create direct and indirect employment for around 4000 individuals, contributing to the overall socio-economic development of the Union Territory. Furthermore, the Union Territory stands to benefit from free power worth Rs. 5289 crore and water usage charges amounting to Rs. 9581 crore over the project’s 40-year life cycle.

This initiative is said to be a testament to the government’s commitment to harnessing hydroelectric power in the region and bolstering its energy infrastructure.