The Cabinet Committee on Economic Affairs (CCEA) has approved a significant investment of ₹8,146.21 crore for the construction of the Tato-II Hydro Electric Project (HEP) in Arunachal Pradesh’s Shi Yomi District. The project is expected to be completed within 72 months.
The project, with an installed capacity of 700 MW (4 x 175 MW), is projected to generate 2,738.06 MU of energy. The power produced will enhance the power supply in Arunachal Pradesh and contribute to balancing the national grid.
The project will be executed through a Joint Venture Company between the North Eastern Electric Power Corporation Ltd. (NEEPCO) and the Government of Arunachal Pradesh. The Government of India will provide ₹458.79 crore in budgetary support for enabling infrastructure like roads and bridges, along with ₹436.13 crore in Central Financial Assistance for the state’s equity share.
Arunachal Pradesh stands to benefit from 12% free power from the project and an additional 1% towards the Local Area Development Fund (LADF). The project is also expected to significantly improve local infrastructure, including the development of approximately 32.88 kilometers of roads and bridges, which will be available for local use. A dedicated fund of ₹20 crore will finance the construction of essential infrastructure such as hospitals, schools, and marketplaces in the district.
This initiative aligns with the “Aatmanirbhar Bharat Abhiyan” and is expected to create direct and indirect employment opportunities, benefiting local suppliers, enterprises, and MSMEs.