CCEA Approves ₹8,146 Crore Tato-II Hydro Electric Project in Arunachal Pradesh

The Cabinet Committee on Economic Affairs (CCEA) has approved an investment of ₹8,146.21 crore for the construction of the 700 MW Tato-II Hydro Electric Project (HEP) in Shi Yomi district of Arunachal Pradesh. The estimated completion period for the project is 72 months.

With an installed capacity of 700 MW (4 x 175 MW), the project is expected to generate 2,738.06 million units (MU) of energy. The power generated will improve the power supply position in Arunachal Pradesh and contribute to balancing the national grid.

The project will be implemented through a joint venture between North Eastern Electric Power Corporation Ltd. (NEEPCO) and the Government of Arunachal Pradesh. The Government of India will provide ₹458.79 crore as budgetary support for the construction of roads, bridges, and associated transmission lines under enabling infrastructure, along with Central Financial Assistance of ₹436.13 crore towards the State’s equity share.

Arunachal Pradesh will benefit from 12% free power and an additional 1% for the Local Area Development Fund (LADF), alongside significant infrastructure improvements and socio-economic development.

The project aligns with the objectives of the Aatmanirbhar Bharat Abhiyan and will offer various benefits to local suppliers, enterprises, and MSMEs, including both direct and indirect employment opportunities. Infrastructure enhancements will include the development of approximately 32.88 km of roads and bridges, which will also be available for local use. Additionally, dedicated project funds of ₹20 crore will finance the construction of essential infrastructure such as hospitals, schools, marketplaces, and playgrounds. Local communities will also benefit from compensations, employment opportunities, and CSR activities.