The 1,500MW Tipaimukh Dam Project in Manipur is going ahead, despite apprehensions from neighbouring Bangladesh which fears that rivers on its territory could be adversely impacted by the undertaking.
Last week, state-owned firms NHPC and SJVN signed a memorandum of understanding (MoU) with the Manipur government for the establishment of a joint venture company to execute the project, sources said. However, the details of the project cost and time line are yet unclear.
The proposed project, which is to be a multi-purpose hydro power facility with flood management functions, is expected to be located on the Barak river in the Churachandpur district of Manipur. Once implemented, it would be amongst the largest hydro-power projects in the country.
Originally awarded to the North Eastern Electric Power Corporation (NEEPC) in 1999, the project was subsequently handed over to a consortium comprising NHPC, SJVN and the Manipur government in 2009. While NHPC will have an equity interest of 69 per cent, SJVN and the state government will hold 26 per cent and 5 per cent respectively.
Of the three parties in the consortium, SJVN, which is a joint venture of the government of India and the government of Himachal Pradesh, has hit the market with its initial public offering on April 29.
However, there has been misgivings in Bangladesh over the fact that the Tipaimukh dam may have an impact on millions of Bangladeshis who depend on the Surma and Kushiara rivers, which could be affected if the damm comes up. Its implementation could also inundate a number of villages in Manipur.
Indeed, the issue was reportedly raised by Bangladeshi prime minister Sheikh Hasina when she met her Indian counterpart, Manmohan Singh, recently.
But sources said that subsequent to the formation of the joint-venture firm for undertaking the project, a detailed project report (DPR) would be prepared, which could bring clarity to the matters under contention.