Jammu & Kashmir’s 7,768 MW Hydropower Surge: 15 Projects Under Way to Transform the UT into an Energy Hub

Jammu & Kashmir’s 7,768 MW Hydropower Surge: 15 Projects Under Way to Transform the UT into an Energy Hub

Jammu & Kashmir is executing 15 major hydropower projects totaling 7,768 MW, aiming to transform the region into a power-surplus hub.

By: Javid Amin | 05 November 2025

The Union Territory of Jammu & Kashmir (J&K) is on the cusp of a major energy transformation. With an estimated hydropower potential of around 18,000 MW, the region has so far harnessed only approximately 3,540 MW. But now, 15 major hydropower projects aggregating 7,768 MW are at various stages of execution — a move that signals a bold step toward making J&K a power-surplus region.

In this article, we unpack the significance of these projects, the status of execution, the socio-economic implications, the challenges ahead, and how this energy push may reshape the future of J&K. The tone is human and direct, aimed at providing an accessible yet thorough understanding of what this means — for the region, for India’s energy map, and for the people on the ground.

Why This Energy Push Matters

01. The scale of the potential

J&K’s geography is rich in hydropower prospects. The region has been estimated to have a potential of up to 18,000 MW of hydropower generation, with roughly 15,000 MW of that already identified. Daily Excelsior+2Kashmir Life+2 But despite this, only 3,540.15 MW have so far been harnessed — including 1,197.4 MW from the UT sector, 2,250 MW from the central sector (via NHPC Ltd.) and 92.75 MW via Independent Power Producers (IPPs).

This means the region has barely scratched the surface of what is technically feasible — which is why the current initiative is important.

02. Strategic significance for J&K and for India

This hydropower expansion is not just about energy numbers — it has a variety of strategic implications:

  • Energy security: By increasing generation capacity, J&K can reduce dependence on imported or external power flows, and manage its own needs reliably. The UT has diverse demand profiles: from daily domestic usage to industrial and commercial demands.

  • Industrial growth: Reliable, locally generated power is a critical enabler for industry — whether in the valley, the Jammu plains or border-areas. If industries know power is stable, they are likelier to invest.

  • Jobs and local development: Large infrastructure projects mean job creation — in construction, operations, maintenance — and spill-over into ancillary services (logistics, hospitality, materials). Moreover, the government has emphasised linking hydropower with community empowerment and local area development.

  • Regional integration and uplift: Developing remote, mountainous districts through hydropower projects means roads, bridges, access get improved. That uplifts local economies, enhances connectivity, and can help in reducing regional imbalances.

  • National grid contribution: Beyond local consumption, surplus generation could feed into the national grid. For a region like J&K, which has unique terrain and strategic location, this becomes an asset for the country’s overall energy infrastructure.

  • Renewables leadership: Hydropower remains a renewable (although not always without ecological or social trade-offs). If J&K can harness its potential well, it can serve as a model for mountain-hydro development elsewhere in India.

Thus, the 7,768 MW index of projects under way is a key milestone — not just for J&K but for India’s renewable energy roadmap.

The 15 Projects: Status, Breakdown & Key Projects

01. Overall project status breakdown

From the recent official reviews, the state of play is as follows:

  • Total capacity of projects in execution: 7,768 MW (aggregated across 15 major hydropower projects).

  • Among these:

    • Under construction: 3,063.5 MW — of which 49.5 MW is in the UT-sector and 3,014 MW in Joint Venture (JV) sector.

    • Tendered / award stage: 641 MW — 141 MW UT sector, 500 MW central sector (NHPC).

    • Investigation/appraisal/DPR (ready to be tendered): 4,063.5 MW — 390 MW UT sector, 2,743.5 MW central sector, 930 MW JV sector.

02. Key flagship projects

Below are some of the major projects cited with progress and timelines:

  • Pakal Dul HEP (1,000 MW, JV sector – CVPPL): Achieved ~70% physical progress (as of June 30, 2025), target commissioning December 2026.

  • Kiru HEP (624 MW, JV sector – CVPPL): ~64% progress (as of June 30, 2025), also target December 2026.

  • Kwar HEP (540 MW): Progress ~22.15% (as of June 30, 2025), expected commissioning by March 2028.

  • Ratle HEP (850 MW): Excavation etc done: 81% powerhouse cavern, 100% dam abutment, 95% tail-race tunnel. Expected August 2029.

  • Parnai HEP (37.5 MW, UT sector): ~64% complete (as of June 15, 2025), expected December 2027.

  • Karnah HEP (12 MW, UT sector): ~74.75% complete (as of May 30, 2025), expected November 2025.

  • Upcoming pipeline projects:

    • Sawalkote HEP (1,856 MW) on Chenab (NHPC)

    • Kirthai II HEP (930 MW) (CVPPL)

    • Bursar Storage HEP (800 MW) (NHPC)

    • Others: Dulhasti II HEP (260 MW), Uri I Stage II HEP (240 MW) etc.

03. Geographic spread & sectors

  • These projects span various river basins of J&K — primarily the Chenab basin (which alone accounts for approximately 76% of identified hydropower potential).

  • They are distributed across UT sector (i.e., projects fully owned/managed by the UT government via entities such as Jammu & Kashmir State Power Development Corporation Limited – JKSPDC), central sector (NHPC) and joint-ventures (JV) between central and UT entities.

  • The mix of capacities ranges from small (12 MW) to very large (1,856 MW), reflecting a deliberate strategy of a diversified project-portfolio.

Socio-Economic and Environmental Dimensions

01. Jobs, local economy and community empowerment

The recent review meeting chaired by Chief Secretary Atal Dulloo emphasised that the hydropower push is not only about generating electricity but ensuring that communities local to the project sites are beneficiaries.

Key features:

  • Rehabilitation & Resettlement (R&R): Projects are being required to integrate market-driven skill training for local youth so they can access the jobs created.

  • Local Area Development: The administration has asked for priority of developmental works raised by locals (roads, water, sanitation) in project-adjacent areas.

  • Employment generation: Construction phases and later operations phases provide opportunities for both skilled and un-skilled labour from the region.

These socio-economic linkages ensure that hydropower projects become engines of broader regional development — not just isolated infrastructure.

02. Industrial growth and power surplus potential

Once these 15 projects are complete, the generation capacity will more than double the existing harnessed capacity (3,540 MW) and possibly tip J&K into a net‐surplus power position. This opens up several possibilities:

  • Attracting energy-intensive industries: With stable, local power, sectors like manufacturing, agro-processing, cold storage (important for valley produce) can flourish.

  • Supply reliability: Local businesses, educational institutions and hospitals can benefit from fewer outages, lower cost of power (potentially) and more predictable operations.

  • Export of electricity: Surplus power can be exported to other states/regions, providing revenue for the UT and possibly spurring further investment in transmission infrastructure.

03. Strategic / national significance

  • Given J&K’s terrain and border proximity, energy infrastructure carries strategic as well as economic importance. A strong generation base enhances regional resilience.

  • The infrastructure built (roads, bridges, power evacuations) often has dual usage (civil & defence) in remote, mountainous zones.

  • Hydropower supports India’s broader climate and renewable energy commitments — by leveraging clean, indigenous, domestic resources.

04. Environmental and social trade-offs

While hydropower is renewable, it is not impact-free. Some considerations:

  • River ecology & flow regimes need careful maintenance (especially with run-of-river projects).

  • Resettlement and land-use change around dams/tunnels must be managed sensitively. The meetings emphasised this.

  • Siltation, sediment management, landslides and geotechnical risks in mountainous terrain are real (for example, the older Salal Dam experienced early siltation issues).

Thus, while the benefits are substantial, the implementation must be conscientious.

Challenges & Bottlenecks

01. Terrain, geology and climate hurdles

  • J&K’s terrain presents extreme challenges: high-altitude zones, fragile geology, snow, flash floods, landslides. These slow down construction, increase cost, raise safety demands.

  • For example, the newer projects like Ratle, Kwar etc may face longer gestation because of these factors.

  • Seasonal working constraints: winter snow may limit working months in certain zones, complicating scheduling.

02. Operational & evacuation infrastructure

  • Generating power is one thing; evacuating it (transmission lines, grid integration) is another. Unless the power can reach load-centres or the grid, generation alone is incomplete.

  • The UT and central sectors must coordinate on transmission corridors, substations, inter-connexion.

  • Ensuring that the grid can absorb and dispatch large capacities (especially during peak flows) is critical.

03. Clearances, land and social coordination

  • Large hydropower projects require multiple clearances: environmental, forest, land acquisition, resettlement and rehabilitation. Delays here can push timelines out.

  • Community engagement is essential; lack of consent or mis-managed resettlement can cause opposition or litigation. The emphasis on local area development is a recognition of this.

  • For example, the 2025 reviews have emphasised R&R and local skills training.

04. Financial & regulatory risks

  • With large capacities (in the range of 800-1,800 MW), project cost is massive, financing must be robust, risk of cost over-runs or low utilisation must be managed.

  • Hydropower returns are long-term; the stakeholder ecosystem (UT govt, Centre, JV, IPPs) must align on revenue sharing, cost of evacuation, tariff frameworks.

  • Weather or hydrological variation (e.g., lower water flow in drought years) may affect generation.

05. Environmental & Ecological Risks

  • As noted, damming small/large rivers affects ecological flows, fish habitats and sediment transport.

  • Considering the Himalayan sensitivity (erosion, earthquakes) projects must have robust safety measures.

  • Long-term maintenance (for siltation, tunnel wear, landslide mitigation) must be budgeted and planned.

What to Watch For: Milestones & Indicators

If you want to track progress and assess success, here are some key areas and indicators to monitor:

01. Project Commissioning Timelines

  • Will the flagship projects (like Pakal Dul, Kiru, Ratle, Kwar) meet their target commissioning dates (2026-2029)?

  • Tracking the percentage physical progress updates (as given in recent meetings) will show acceleration or slippage.

02. Generation & Utilisation Metrics

  • From the moment the first of these projects begins generation, we should monitor how many MW are added annually.

  • How much of that generated power remains within J&K vs exported to other states.

  • Peak demand vs generation gap – is J&K moving toward surplus?

03. Local Economic Impact

  • Numbers of local jobs created (construction & operations).

  • Upgradation of local infrastructure (roads, utilities) in project zones.

  • Increase in industrial investment in J&K tied to stable power availability.

  • Improved quality of life indicators in affected districts (income, connectivity, services).

04. Environmental & Social Safeguards

  • Timely implementation of R&R plans for project-affected persons.

  • Implementation of local area development commitments as promised.

  • Monitoring of ecological indicators around the river basins (flow regime, sedimentation, fish populations).

  • Safety audits, hazard mitigation for landslides, seismic risks.

05. Transmission & Grid Integration

  • Completion of major transmission lines and substations necessary to evacuate power.

  • Integration with national grid (interstate transfers, export logistics).

  • Stability and reliability of supply in J&K — reduction in power cuts/outages.

Broader Outlook: What This Could Enable

01. A power-surplus J&K and its ripple effects

Once these projects are all operational, J&K could transition from a power-deficit or neutral state to power-surplus. This has multiple implications:

  • J&K could become a power exporter to neighbouring states/regions, generating revenue and strengthening its economic base.

  • More stable power supply could catalyse growth in sectors previously constrained: cold storages (important for valley horticulture), tourism infrastructure, hospitality, manufacturing and services.

  • Rural electrification, remote area connectivity and upliftment of border/tribal areas may improve significantly as infrastructure spreads.

02. Strengthening India’s renewable / low-carbon energy mix

Hydropower is a major component of India’s ambition to shift toward renewables. For India to achieve large-scale grid decarbonisation, large storage‐capable hydropower in mountainous regions is important. J&K’s contribution becomes meaningful in that national context.

03. Development of regional corridors and infrastructure clusters

With the major hydropower projects, associated infrastructure (roads, tunnels, bridges, transmission lines, skilled workforce) tends to spark regional clusters. For example:

  • Supply chain for hydropower materials (cement, steel, pipes) may localise.

  • Skills training centres for local youth (tunnel workers, dam engineers, maintenance staff) may emerge.

  • Tourism circuits may benefit as access improves in previously remote areas near project zones.

  • Industrial parks may be established near power-rich zones, given favourable power supply.

04. Socio-economic uplift and inclusive growth

  • With proper R&R and local hiring, communities near project zones can benefit directly.

  • Improved power and infrastructure can lead to better education, healthcare services, digital connectivity — helping narrow development gaps.

  • A rising economy in J&K reduces regional disparity and can strengthen social stability and inclusion.

Risks That Could Delay or Undermine the Ambition

01. Slippages in timelines & cost overruns

The large scale and complexity mean that delays are possible. If flagship projects slip beyond 2028/2029 significantly, the momentum may slow. Cost escalations could burden finances and delay benefits.

02. Hydrology / Climate / Water availability issues

  • Year-on-year variation in river flows (due to climate change, glacial retreat, variable rainfall) can affect generation projections.

  • If water levels are lower than expected, generation falls and financial viability may suffer.

03. Transmission bottlenecks

If transmission infrastructure is not built in time, generated power may not be utilised fully or may incur high evacuation losses. Poor grid integration may undercut the benefit of generation infrastructure.

04. Social / environmental backlash

Local communities may raise objections if R&R is delayed, or ecological impacts are felt strongly. Environmental clearances may be challenged. In a sensitive region like J&K, this risk is higher.

05. Financial and regulatory uncertainty

Tariff fixation, power purchase agreements (PPAs), financing terms, insurance for hazard risk all must be favourable. If regulatory frameworks are weak or unclear, investments may hesitate or stall.

What Needs to Happen to Ensure Success

01. Strong governance, clear timelines & accountability

  • Regular progress reviews (as the Chief Secretary has mandated) must continue with transparency.

  • Clear milestones for each project, and penalties/incentives tied to performance, will help execution.

  • Coordination among UT government, central agencies (NHPC), JV partners, local bodies is critical.

02. Community engagement & inclusive development

  • Meaningful engagement with affected communities—ensuring their concerns are addressed early, before litigation arises.

  • Training local youth for jobs, not just labourer roles but also technical, supervisory, maintenance positions.

  • Ensuring the benefits (roads, schools, clinics, clean water) promised under Local Area Development are realised — this builds goodwill and social licence.

03. Concurrent development of evacuation & grid integration

  • Transmission lines, substations and grid upgradation must run in parallel with generation projects — not after.

  • Monitoring of grid readiness, load-balancing mechanisms, inter-state flows, and market connectivity must be prioritised.

04. Risk mitigation for environment & terrain

  • Implementation of modern engineering practices for landslide, seismic, ice/snow hazard mitigation.

  • Sediment management in dams, ecological flow maintenance, river health monitoring must be built in.

  • Maintenance budgets and protocols should be set aside, not left as after-thoughts.

05. Financial structuring & market linkages

  • Tariff structures must reflect both viability and affordability.

  • Power marketing beyond UT must be explored to capture revenue from surplus.

  • Exploring storage/ pumped-storage or hybrid systems (hydro + solar) may enhance value and flexibility.

Conclusion

The 15 hydropower projects totaling 7,768 MW under execution in Jammu & Kashmir mark a significant turning point for the region’s energy landscape. They offer the potential to transform J&K into a power-surplus territory, drive local economic growth, create jobs, strengthen regional infrastructure and contribute meaningfully to India’s renewable ambitions.

However, the scale of ambition comes with responsibilities. Execution must be on time, socially inclusive, environmentally responsible, and integrated with grid and market mechanisms. If done well, the benefits will ripple far beyond the power-houses — uplifting communities, rebooting economies, strengthening national integration, and setting the region firmly on the path of sustainable growth.

As energy policy and socioeconomic strategy merge in J&K’s hydropower roadmap, the ultimate measure of success will not only be megawatts generated — but megawatts that translate into livelihoods improved, local opportunities realised, and lives transformed.

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