Union Cabinet Approves Rs 12,461 Crore Boost for Hydropower Development

The Union Cabinet has approved an outlay of Rs 12,461 crore to support the development of 31,350 MW hydropower projects over the next eight years. The scheme, which will be implemented from FY2024-25 to FY2031-32, includes modifications in budgetary support to improve the cost of enabling infrastructure.

The Union Cabinet approved a substantial Rs 12,461 crore outlay on Wednesday to support the development of 31,350 MW of hydropower projects over the next eight years.

Chaired by Prime Minister Narendra Modi, the Union Cabinet has given the green light to the Ministry of Power's proposal to modify the scheme of budgetary support for Hydro Electric Projects (HEP). The revised scheme involves an outlay of Rs 12,461 crore and will be implemented from FY2024-25 to FY2031-32, according to an official statement.

The statement further detailed that the budgetary support limit for enabling infrastructure has been rationalised to Rs one crore per MW for projects up to 200 MW. For projects exceeding 200 MW, the budgetary support will include Rs 200 crore plus Rs 0.75 crore per MW.

(With inputs from agencies.)