State government wants control of NHPC's Uri, Dulhasti hydropower projects

Jammu and Kashmir Map

Officials from Jammu and Kashmir have asked the National Hydroelectric Power Corporation (NHPC Ltd.) to give it ownership of the 390-MW Dulhasti and 720-MW Uri hydropower projects -- both of which are located within the northern Indian state.

Speaking at a conference in Guwahati earlier this week, Jammu and Kashmir Minister of Power Nirmal Singh said a transfer of the plants would support the state's development agenda, which focuses heavily on cultivating its energy sector.

Per the minister, revenues produced by Dulhasti and Uri would be essential components in the state achieving financial autonomy. The state has also asked for a share of profits made by NHPC from Jammu and Kasmir's water sources, and a revision of all royalty agreements.

The state contends that NHPC's use of its water resources qualifies as "discriminatory provisions" per the Indus Water Treaty by compromising its ability to profit from waters flowing through it.

HydroWorld.com reported that NHPC dedicated Dulhasti in April 2008. The plant is located on the Chandra River.

Meanwhile, Uri -- located on the Jhelum River -- includes both the 480-MW Uri and 240-MW Uri 2 plants. Uri 1 began operating in 1997, while Uri 2 was commissioned this past July.

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