The Centre has approved the revised cost estimate of over INR 8,390 crore for the Tehri Hydro Electric Project Stage 1 in Uttarakhand implemented by THDC India.

The decision to revise the cost of the project to INR 8,392.45 crore, against the original cost of INR 2,963.66 crore in March 1994 was taken here by the Cabinet Committee on Economic Affairs.

Mr P Chidambaram home minister told reporters that “The revised cost of INR 8,392.45 crore includes interest during construction.”

He said that the Cabinet Committee on Economic Affairs also accorded approval for the contingent liability on account of arbitration awards and court cases which will be at actual.

Mr Chidambaram added that “However the contingent liability will not exceed INR 967.38 crore.”

The Stage 1 of Tehri Hydro Electric Project has four units of 250 MW each totaling a combined power generation of 1,000 MW. It was commissioned in 2006-07 and has generated 10,723.21 million units till September 2010.

It provides 1,000 MW peaking power to the nine states of North India, including Uttar Pradesh, Uttarakhand, Punjab, Delhi, Haryana, Jammu and Kashmir, Chandigarh, Rajasthan and Himachal Pradesh.

Apart from annual generation of 2,797 million units of electricity, it also provides irrigation benefits to 874,000 hectare in Uttar Pradesh and drinking water to Delhi (300 cusec) and Uttar Pradesh (200 cusec).

(Sourced from PTI)