The Ministry of Power is considering a subordinated debt package of ₹18,700 crore for NHPC’s 1,856 MW Sawalkote Hydroelectric Project in Jammu & Kashmir.
The proposed financing is aimed at supporting the project’s estimated development cost of ₹31,380 crore. The funding proposal is currently at an exploratory stage and will require clearance from the Expenditure Finance Committee before receiving final government approval.
If approved, the financing could provide significant support for advancing construction and development activities at the project. The proposed government backing also aligns with broader efforts to accelerate hydropower development and strengthen infrastructure in the region.
Located on the Chenab River, the Sawalkote Hydroelectric Project is expected to generate approximately 7,994.73 million units (MUs) of electricity annually. The project is also designed to maximise the hydropower potential of the Chenab basin while complementing existing projects such as Baglihar and Salal.
With its large generation capacity and strategic location, the project is expected to contribute to the region’s power infrastructure and support long-term energy requirements.
