Centre approves Rs 2,614 cr investment for Sunni Dam hydro power project

Centre approves Rs 2,614 cr investment for Sunni Dam hydro power project

FPJ Web DeskUpdated: Wednesday, January 04, 2023, 05:03 PM IST
article-image
Centre approves Rs 2,614 cr investment for Sunni Dam hydro power project | Image credit: Wikipedia (Representative)

The government gave its approval on Wednesday to SJVN Ltd, a state-owned company, investing Rs 2,614.51 crore in the 382 MW Sunni Dam Hydroelectric Project in Himachal Pradesh.

"The Cabinet Committee on Economic Affairs chaired by Prime Minister Narendra Modi has approved the investment for 382 MW Sunni Dam Hydro Electric Project in Himachal Pradesh by SJVN Ltd, for an estimated cost of Rs 2,614.51 crore, including Rs 13.80 crore as budgetary support from Government of India for the cost of enabling infrastructure," an official statement said.

Ex-post facto approval is given for cumulative expenditure incurred amounting to Rs 246 crore till January 2022, it added.

The project cost of Rs 2,614 crore included hard cost amounting to Rs 2,246.40 crore, Interest During Construction (IDC) and Financing Charges (FC) of Rs 358.96 crore and 9.15 crore, respectively, the statement said.

The revised cost sanctions for cost variations due to quantity changes (including additions/ alterations/ extra items) and time overruns due to the developer shall be capped at 10 per cent of the sanctioned cost, it added.

With regard to the goals and objectives of the Atmanirbhar Bharat Abhiyan, it was stated that the current proposal for SJVN to build the 382 MW Sunni Dam HEP would offer various benefits to local businesses, MSMEs, and suppliers as well as promote employment and socioeconomic development of the area.

The implementation of the project shall generate direct and indirect employment for about 4,000 persons during the peak construction of the project, as per the statement.

With inputs from Agencies.

RECENT STORIES

Inflation Worries Continue For US Fed; No Policy Rate Cut For Seventh Time

Inflation Worries Continue For US Fed; No Policy Rate Cut For Seventh Time

'Owner Has Preferential Right To Redevelop Property': Bombay High Court

'Owner Has Preferential Right To Redevelop Property': Bombay High Court

Nestle India To Pay 4.5% Royalty To Parent Firm After Shareholders Reject Hike

Nestle India To Pay 4.5% Royalty To Parent Firm After Shareholders Reject Hike

Budget 2024: FM Nirmala Sitharaman Likely To Present Full Union Budget In July Amid High Market...

Budget 2024: FM Nirmala Sitharaman Likely To Present Full Union Budget In July Amid High Market...

Tata Power Strengthens Its Nationwide E-Bus Charging Network With High-Capacity Fast Charging Points

Tata Power Strengthens Its Nationwide E-Bus Charging Network With High-Capacity Fast Charging Points