NHPC & JKSPDCL incorporate a JV for Ratle Hydro-electric project

• In February 2019, the two parties, along with the government of UT of Jammu & Kashmir, had signed an MoU for the development of the hydroelectric project

• The Ratle hydro electric project is scheduled to be commissioned within 60 months

New Delhi: State-run NHPC Limited has incorporated a joint venture (JV) company with Jammu & Kashmir State Power Development Corporation Ltd (JKSPDCL) for the implementation of 850 MW Ratle Hydro-electric power project on Chenab River, said the PSU in a regulatory filing to the stock exchanges on Friday. In February 2019, the two parties, along with the government of UT of Jammu & Kashmir, had signed an MoU for the development of the hydroelectric project. Further, a supplementary MoU was also signed on January 3 this year for the project.

"… it is to inform that NHPC Limited has incorporated a Joint Venture Company with Jammu and Kashmir State Power Development Corporation Limited (JKSPDCL) with equity participation of 51:49 respectively, in the name of "Ratle Hydroelectric Power Corporation Limited" having Corporate Identity Number (CIN): U40105JK2021GOI012380 with the Registrar of Companies, Jammu & Kashmir, on 1st June, 2021 (Certificate of Incorporation received on 04.06.2021) for implementation of Ratle Hydro-electric Project (850 MW) in the Chenab River Basin situated at the UT of Jammu and Kashmir," said NHPC in the filing.

Cabinet okayed Rs 5,281.94-cr investment for Ratle hydro-electric project in Jan

On January 20 this year, the Union Cabinet had approved Rs 5,281.94 crore investment for the 850 MW Ratle hydro-electric project on river Chenab in Kishtwar district of Union Territory of Jammu and Kashmir. The Centre holds 51 percent stake in the project through a JV between NHPC and Jammu & Kashmir State Power Development Corporation Ltd (JKSPDCL). The latter will have a share of 49 percent. NHPC will invest Rs 808.14 crore generated from the power PSU's internal resources. The Ratle hydro electric project is scheduled to be commissioned within 60 months.

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The Union Territory of Jammu and Kashmir will be getting free power worth Rs 5,289 crore and levy of water usage charges worth Rs 9,581 crore during the project life cycle of 40 years.

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