🗞️ Why in News The Cabinet Committee on Economic Affairs (CCEA) approved the ₹14,105.83 crore Kalai-II run-of-river hydroelectric project on the Lohit River in Anjaw District, Arunachal Pradesh. It is the first hydro project in the Lohit Basin and will be implemented as a joint venture between THDC India Limited (an NTPC subsidiary) and the Government of Arunachal Pradesh.


Project Overview

Parameter Details
Name Kalai-II Hydroelectric Project
Type Run-of-River (RoR) — no large reservoir
Installed capacity 1,200 MW (6 × 190 MW + 1 × 60 MW = 7 units)
Annual generation 4,852.95 million units (MU)
Project cost ₹14,105.83 crore
Location Lohit River, Anjaw District, Arunachal Pradesh
Approving body Cabinet Committee on Economic Affairs (CCEA)
Implementing agency THDC India Limited (JV partner) + Govt. of Arunachal Pradesh
Basin significance First hydro project in the Lohit River Basin

The Lohit River — Geographic Context

The Lohit River is a major tributary of the Brahmaputra (Assam calls it the Lohit) and one of three main rivers that join to form the Brahmaputra in Assam.

Key Facts — Lohit River

  • Origin: Zayul Chu (Tibetan name) — rises in eastern Tibet
  • Enters India through the Kibithoo area of Anjaw District, Arunachal Pradesh
  • Flows through Arunachal Pradesh before joining the Brahmaputra at Sadiya (Assam)
  • Length in India: ~200 km
  • Drainage basin: Shares watershed with Dibang and Siang rivers
  • The Lohit River Basin has remained largely untapped for hydropower — Kalai-II is the first project approved in this basin

Anjaw District

  • Easternmost district of Arunachal Pradesh (and of India)
  • Borders: China (northeast), Myanmar (east), Nagaland (south)
  • District headquarters: Hayuliang
  • Strategic significance: Border district with China’s Yunnan Province

Implementing Agencies

THDC India Limited

  • Full name: THDC India Limited (formerly Tehri Hydro Development Corporation India Ltd)
  • Ownership: NTPC holds 74.5% stake (making it an NTPC subsidiary)
  • Government of India holds the remainder through Ministry of Power
  • Primary mandate: Development of hydro and other renewable projects
  • Major existing project: Tehri Hydro Power Complex (Uttarakhand) — 2,400 MW

Joint Venture Structure

  • THDC India Limited + Government of Arunachal Pradesh — JV for Kalai-II
  • This follows the established model for hydro projects in Arunachal Pradesh: PSU + State government JV
  • State equity participation ensures Arunachal Pradesh receives royalties and employment benefits

Run-of-River Technology — UPSC Context

A run-of-river (RoR) hydroelectric project uses the natural flow of a river without creating a large storage reservoir. This has significant implications:

Feature Run-of-River Storage Dam
Water storage Minimal — diversion weir only Large reservoir
Environmental impact Lower displacement, lower submergence High submergence, displacement
Power generation Seasonal variation (depends on river flow) Can regulate output year-round
Construction time Generally faster Slower
Example Kalai-II, Subansiri Lower Bhakra-Nangal, Tehri

Employment and Social Benefits

  • Direct employment: Approximately 1,700 jobs during construction and operation
  • Reservation policy: 50% of jobs reserved for project-affected families (PAFs) — a standard NHPC/hydro project policy
  • Local procurement: Preference for materials sourced from Arunachal Pradesh

India’s Hydropower Ambitions — Policy Context

National Hydropower Target

India has set a target of 500 GW non-fossil fuel capacity by 2030. Hydro is classified as renewable energy (after the Electricity (Amendment) Act notifications) and counts toward this target.

Hydro Policy Development Details
Large hydro → Renewable (2019) Ministry of New & Renewable Energy classified large hydro (>25 MW) as RE — eligible for RPO targets
Hydro Purchase Obligation (HPO) States must purchase a minimum % of power from hydro sources
₹12,000 crore incentive Central financial assistance for hydro projects >25 MW above a cost threshold

Arunachal Pradesh Hydro Potential

  • Arunachal Pradesh has a theoretical hydro potential of ~50,000 MW — one of the highest in India
  • Only a fraction (~3,000 MW) is currently developed
  • Key rivers: Brahmaputra (Siang), Subansiri, Kameng, Lohit, Dibang
  • Strategic dimension: Developing hydro capacity in Arunachal Pradesh also signals Indian infrastructure presence in a border state disputed by China

UPSC Relevance

Paper Angle
GS3 — Economy Hydropower policy; renewable energy targets; PSU-state JV model
GS3 — Environment Run-of-river vs storage dam; river basin ecology
GS1 — Geography Lohit River basin; Anjaw District; Brahmaputra tributaries
GS2 — Governance CCEA; Centre-state infrastructure partnership
Prelims Lohit River origin; Anjaw District; THDC India Limited ownership; annual generation figure

📌 Facts Corner

Kalai-II HEP: Cost: ₹14,105.83 crore | Capacity: 1,200 MW (6×190 MW + 1×60 MW) | Annual generation: 4,852.95 MU | River: Lohit River | District: Anjaw, Arunachal Pradesh | Approved by: CCEA | Implementing JV: THDC India Limited (NTPC subsidiary, 74.5% stake) + Govt. of Arunachal Pradesh | Basin first: First project in Lohit Basin | Type: Run-of-River | Jobs: ~1,700; 50% reserved for PAFs | Lohit River: originates in Tibet; joins Brahmaputra at Sadiya | THDC major project: Tehri Hydro (2,400 MW, Uttarakhand) | GS3: Economy, Environment; GS1: Geography