Source: PIB
Subject: Geography
Context: The Cabinet Committee on Economic Affairs approved a massive investment of ₹14,105.83 crore for the construction of the 1200 MW Kalai-II Hydro Electric Project in Arunachal Pradesh.
About Kalai-II Hydro Electric Project:
What it is?
- Kalai-II is a large-scale hydropower project designed to generate clean energy and manage peak power demand in India. It is being implemented through a Joint Venture Company between THDC India Limited and the Government of Arunachal Pradesh.
Location and River:
- District: Located in the Anjaw District of Arunachal Pradesh.
- River: It is situated on the Lohit River and holds the distinction of being the first hydro project in the Lohit Basin.
History and Funding: The project was greenlit by the Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, as part of a broader push for infrastructure in the Northeast.
- Budgetary Support: The Government of India is providing ₹599.88 crore for enabling infrastructure like roads and bridges.
- Equity Assistance: A Central Financial Assistance of ₹750 crore has been approved for the State’s equity share.
Key Features:
- Installed Capacity: 1200 MW, consisting of six units of 190 MW and one unit of 60 MW.
- Energy Generation: Estimated to produce 4852.95 MU of energy annually.
- Completion Timeline: The project is estimated to be finished within 78 months.
- Infrastructure Scope: Development includes approximately 29 kilometers of new roads and bridges.
Significance of the Project:
- The project will play a crucial role in peak demand management and contribute to balancing the national power grid.
- Arunachal Pradesh will receive 12% free power, significantly boosting the state’s internal resources.
- An additional 1% of power is earmarked for the Local Area Development Fund (LADF) to support grassroots initiatives.









