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Jammu and Kashmir: Rs 66.43 Crore Plan to Revive Flood-Hit Sewa-III Hydel Project

SRINAGAR: The Jammu and Kashmir administration is planning to revive the 9 MW Sewa-III Hydel Power Project, which has been non-operational since 2002 due to significant structural damage caused by recent floods. The restoration efforts are slated to cost Rs 66.43 crore and will be undertaken through a Public-Private Partnership (PPP) model.

According to details received by The Chenab Times, the Power Development Department stated in response to a starred Assembly question that the run-of-river project, consisting of three 3 MW units, was initially conceived in 1993 and commissioned on June 25, 2002. However, severe structural damage to critical infrastructure, including the inspection road and a section of the water conductor, occurred during torrential rains and floods in the 2023–24 period. This damage led to parts of the water conductor being exposed and compromised, resulting in the complete shutdown of the powerhouse.

The government clarified that the project’s current inoperable status is a direct consequence of flood-related damage and not attributable to administrative delays. To facilitate efficient execution and attract necessary investment, the revival plan is being structured under a PPP framework.

Information was available with The Chenab Times that the Jammu and Kashmir State Power Development Corporation had previously engaged IIT Roorkee to prepare a Detailed Project Report (DPR) for the renovation and restoration work. IIT Roorkee submitted its report in 2022, with an estimated cost of Rs 66.43 crore for the project.

Further developments indicate that the Centre for Innovation and Transformation in Governance (CITAG) proposed in an April 2025 meeting that the Sewa-III project be redeveloped under the PPP mode. Consequently, IIT Roorkee has commenced the revision and updating of the DPR, with the final report anticipated by the end of April 2026.

In parallel, the matter has been presented to the project’s Board of Directors. The board has given its approval to initiate a limited tender process for the appointment of a transaction advisor. This advisor will be responsible for the preparation of tender documents and will recommend the most appropriate execution model for the project under the PPP framework.

The government indicated that the redevelopment of the project will proceed following the selection of a suitable developer. This step marks a significant move towards restoring the power generation capacity of the Sewa-III plant.

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