Cabinet approves ₹1236 crore investment for Arun-3 Hydro Project

• Recently the government has approved an investment proposal for transmission component in Nepal portion of Arun-3 Hydro Electric Project.

Key highlights

• The investment will be done by state-owned Sutlej Jal Vikas Nigam (SJVN) which has been carrying out the construction work at the plant.

• The power from the project will be exported from Dhalkebar in Nepal to Muzaffarpur in India. This will not only provide surplus power to India but also strengthen the economic linkages with Nepal.

• The Arun-3 Hydro Electric project (900 MW) is a run-of-river located on Arun River in Eastern Nepal.

• A Memorandum of understanding (MoU) was signed between Government of Nepal and SJVN Limited for the project in 2008 for execution on Build Own Operate and Transfer (BOOT) basis for a period of 30 years including five years of construction period.


Mains Paper 3: Economy

Prelims level: Arun-3 Hydro Project

Mains level: Read the story

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