The decision to revise the cost of the project to Rs 8,392.45 crore, against the original cost of Rs 2,963.66 crore in March 1994, was takenin New Delhi by the Cabinet Committee on Economic Affairs (CCEA).
“The revised cost of Rs 8,392.45 crore includes interest during construction (IDC),” Home Minister P Chidambaram told reporters after meeting of the CCEA.
The CCEA also accorded approval for the contingent liability on account of arbitration awards and court cases which will be at actuals, he said.
“However the contingent liability will not exceed Rs 967.38 crore,” Chidambaram added.
The Centre had approved implementation of the Tehri Dam and Hydro Power Project (1000 MW) stage-I in March 1994.
The project was approved as the stage I of the Tehri complex (2,400 MW) which comprised of Tehri Dam and Hydro Electric Project (1,000 MW) along with works of Koteshwar Dam and Hydro Power Project and essential works of Pump Storage Plant at a total cost of Rs 2,963.66 crore (at March, 1993) price.
The Stage I of Tehri Hydro Electric Project has four units of 250 MW each totalling a combined power generation of 1,000 MW.
The project was commissioned in 2006-07 and has generated 10,723.21 million units till September, 2010, the minister said.
It provides 1,000 MW peaking power to nine states of Northern India, including Uttar Pradesh, Uttarakhand, Punjab, Delhi, Haryana, Jammu & Kashmir, Chandigarh, Rajasthan and Himachal Pradesh.
Apart from annual generation of 2,797 million units of electricity, the project also provides irrigation benefits to 8.74 lakh hectare area in Uttar Pradesh and drinking water to Delhi (300 cusecs) and Uttar Pradesh (200 cusecs).