India’s Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, has approved an investment of Rs. 8,146.21 crore for the construction of the Tato-II hydroelectric project in the Shi Yomi district of Arunachal Pradesh. The project has a completion timeline of 72 months.
The 700MW project, with four units of 175MW each, is expected to generate 2,738.06 million units of energy. According to the government the power generated from the project will help improve the power supply position in the state of Arunachal Pradesh and will also help in balancing of the national grid.
Tato-II will be implemented through a joint venture between the North Eastern Electric Power Corporation Ltd. (NEEPCO) and the Government of Arunachal Pradesh. The central government will provide Rs. 458.79 crore as budgetary support for roads, bridges, and transmission lines under enabling infrastructure, along with Rs. 436.13 crore as Central Financial Assistance towards the state’s equity share.
The state will receive 12% free power and 1% for the Local Area Development Fund, in addition to infrastructure improvements and socio-economic benefits. The project is expected to create direct and indirect employment and support local suppliers, enterprises, and MSMEs under the Aatmanirbhar Bharat Abhiyan framework.
Planned infrastructure includes around 32.88 kilometres of roads and bridges, most of which will be available for local use. Dedicated project funds of Rs. 20 crore will finance facilities such as hospitals, schools, marketplaces, and playgrounds. The government said the local population will also benefit from compensation, employment, and corporate social responsibility activities.
Back in November 2024, investment was approved for the Tato-I hydroelectric project in the same district.
