FCC

NHPC to initiate Subansiri Lower project trial runs soon

2023-06-16

The hydropower company NHPC announced that trials for the Subansiri Lower project, which passes through Assam and Arunachal Pradesh, would commence in July 2023. It was expected that the first unit of the project would be commissioned by December 2023.

It was projected that all eight units would be commissioned by the end of 2024, contributing significantly to the country's energy transition. The project, with a capacity of two gigawatts (GW), had encountered delays due to protests and legal disputes related to environmental concerns. The National Green Tribunal (NGT) ruled in favour of resuming work in 2019 after an eight-year suspension. The project's cost had escalated to Rs 212.5 billion, more than three times the initial estimate.

Moreover, NHPC was in the process of finalising plans to award construction contracts for the Dibang project, which would become the largest hydropower plant in India upon completion, with a capacity of 2.9 GW. The government recognized large dams as a source of "clean energy," thereby requiring provincial power distributors to procure hydropower. In certain cases, the government would provide financial assistance for civil construction and flood moderation work.

Hydroelectric power played a crucial role in compensating for fluctuations in electricity demand and balancing the grid, especially as the share of solar and wind power increased.

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