J&K Eyes Power Play: Stake in ₹22,700 Crore Sawalkot Project

The Jammu & Kashmir (J&K) government is in talks with the Central government and NHPC to secure a stake and revenue-sharing arrangement in the 1,856 MW Sawalkot hydropower project on the Chenab River, estimated at ₹22,700 crore.

NHPC has already invested ₹973 crore in preparing the detailed project report. J&K may pursue project development either through its state-owned utility, JKPDC, or via the Chenab Valley Power Projects Ltd. joint venture, where JKPDC holds a 44.71% stake. If approved promptly, the project could be operational by 2033.

This initiative aligns with India’s broader strategy following the suspension of the 1960 Indus Waters Treaty with Pakistan. The Centre is now prioritizing dam and storage infrastructure across the Indus, Jhelum, and Chenab rivers for flood control and energy generation. Despite having over 3 GW of installed hydropower capacity, J&K’s potential exceeds 18,000 MW. The region is also investing in inland waterway and river navigation projects to improve connectivity and drive economic growth.

News by Rahul Yelligetti.