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Union Cabinet approves Investment of Rs 2614 crore for SJVN's 382 MW Sunni Dam Hydro Project
1/4/2023 10:35:40 PM
agencies
SHIMLA, Jan 4: Nand Lal Sharma, Chairman & Managing Director, SJVN today informed that the Cabinet Committee on Economic Affairs, chaired by Hon'ble Prime Minister Narendra Modi has approved investment of Rs. 2614 crore for 382 MW Sunni Dam Hydro Electric Project in Himachal Pradesh.
Nand Lal Sharma apprised that the Run of River project being executed on river Satluj in district Shimla & Mandi of Himachal Pradesh will have 71-meter-high concrete gravity Dam and six generating units in its surface Power House. The project shall generate 1382 million units annually and the levelized tariff of electricity generated will be Rs. 3.90 per unit. The project is scheduled to be commissioned within 63 months of the commencement of construction works. The project is being financed on 70:30 debt equity ratio and on completion it will earn 16.50% return on equity for SJVN.
Nand Lal Sharma shared that the Forest & Environment Clearances have already been accorded while Rs. 266 crores have been spent on pre-construction activities. He further said that project construction activities with result in direct and indirect employment to around 4000 persons. On commissioning, 13% of the electricity generated will be provided free of cost to Government of Himachal Pradesh including 1% for Local Area development fund. For the project life cycle of 40 years, this free power translates into benefits of Rs. 2803 crores.
Nand Lal Sharma further said that to each Project Affected Family, 100 units of free electricity per month will be provided for ten years. The development of the project will also lead to betterment of roads, bridges, healthcare & other infrastructure and this will play a vital role in socio-economic development of the region.
Sunni Dam Hydro Electric Project will provide 1382 MU of green energy to the grid and will reduce carbon dioxide emissions by 1.1 Million tons annually. This hydro project will play a crucial role in balancing the grid over intermittent nature of solar & wind power. The commissioning of this project will contribute significantly towards Government of India's vision to provide Round The Clock Power to All.
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