News Brief
Arjun Brij
Aug 13, 2025, 09:34 AM | Updated 09:34 AM IST
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The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, has approved an investment of Rs 8,146.21 crore for the construction of the Tato-II Hydroelectric Project (HEP) in Arunachal Pradesh’s Shi Yomi district.
With an installed capacity of 700 MW (4x175 MW), the project is expected to generate 2,738.06 million units of electricity annually, the press statement informed.
Officials said the power will strengthen Arunachal Pradesh’s supply position and aid in balancing the national grid.
The scheme will be executed through a joint venture between the North Eastern Electric Power Corporation Ltd. (NEEPCO) and the Arunachal Pradesh government.
The Centre will provide Rs 458.79 crore in budgetary support for enabling infrastructure such as roads, bridges, and transmission lines, alongside Rs 436.13 crore as Central Financial Assistance towards the state’s equity share.
Arunachal Pradesh will receive 12 per cent free power and an additional 1 per cent for the Local Area Development Fund (LADF). Authorities expect the initiative to spur substantial infrastructure upgrades and socio-economic growth in the region.
Around 32.88 km of roads and bridges will be developed, benefiting both the project and the local community.
Dedicated project funds of Rs 20 crore will finance public amenities, including hospitals, schools, marketplaces, and playgrounds. Employment opportunities, compensations, and corporate social responsibility (CSR) activities are also planned.
The project is scheduled for completion within 72 months.
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Arjun Brij is an Editorial Associate at Swarajya. He tweets at @arjun_brij