The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, has approved an investment of ₹26,069.50 crore for the construction of the Kamala Hydro Electric Project (HEP) across Kamle, Kra Daadi, and Kurung Kumey districts of Arunachal Pradesh. The project is scheduled for completion within 96 months.
Capacity and Strategic Importance
The Kamala HEP will be able to produce a total of 1,720 MW, which is made up of eight 210 MW units and one 40 MW unit. The project is expected to make about 6,870 million units (MU) of power.
- Strengthens power supply in Arunachal Pradesh
- Supports peak demand management
- Contributes to national grid balancing
- Provides flood moderation benefits in the Brahmaputra valley
Implementation and Financial Support
The project will be built by NHPC Limited and the government of Arunachal Pradesh working together. The Indian government will give a lot of money to make sure everything goes smoothly.
- ₹4,743.98 crore for flood moderation component
- ₹1,340 crore for infrastructure (roads, bridges, transmission systems)
- ₹750 crore as central financial assistance for state equity
Benefits for State and Local Communities
Under the project framework, Arunachal Pradesh will receive:
- 12% free power
- Additional 1% for Local Area Development Fund (LADF)
The project is expected to drive significant infrastructure development in the region.
- Around 196 km of roads and bridges to be developed
- New facilities including hospitals, schools, and marketplaces
- ₹8 crore allocated for essential local infrastructure
Local communities will also benefit through employment opportunities, compensation, and corporate social responsibility (CSR) initiatives.
Boost to Regional Hydropower Development
The Kamala project adds to a series of major hydropower developments in the region led by NHPC Limited:
- Subansiri Lower HEP (2,000 MW) – 750 MW already commissioned
- Dibang Multipurpose Project (2,880 MW) – under construction
- Etalin Project (3,097 MW) – planned
All projects will provide 12% free power to host states and contribute to local development through LADF.
The Kamala Hydro Electric Project is expected to be very important for increasing the use of renewable energy, improving infrastructure, and helping Arunachal Pradesh’s economy grow, all while helping India reach its clean energy goals.





