New Delhi [India], January 20 (ANI): The Union Cabinet has given its approval to an investment of Rs 5281.94 crore for 850 MW Ratle Hydro Electric (HE) Project located on river Chenab in Kishtwar district by a new Joint Venture Company (JVC) to be incorporated between National Hydroelectric Power Corporation (NHPC) and Jammu and Kashmir State Power Development Corporation Ltd (JKSPDC) with equity contribution of 51 per cent and 49 per cent respectively.
An official release said the government is also supporting the Union Territory of Jammu and Kashmir by providing a grant of Rs 776.44 crore for an equity contribution of JKSPDC in the JVC to be set up for construction of Ratle HE Project (850 MW).
NHPC shall invest its equity Rs 808.14 crore from its internal resources.
The release said that the Ratle Hydro Electric Project will be commissioned within a span of 60 months.
The power generated from the project will improve the power supply position.
The release said that construction activities in the project will result in direct and indirect employment to around 4,000 persons and will contribute to overall socio-economic development of the Union Territory of Jammu and Kashmir.
It said Jammu and Kashmir will be benefitted by getting free power worth Rs 5,289 crore and through levy of water usage charges worth Rs 9,581 crore during the project life cycle of 40 years. (ANI)