As Prime Minister Narendra Modi inaugurated the project, Goyal tweeted that he was "personally very excited about the project and the positive multiplier effects it will trigger".
"It will also provide much-needed power to Northern grid, giving relief to the common man in Uttar Pradesh, Rajasthan, Himachal Pradesh, Delhi, Punjab, Haryana, Uttarakhand and Chandigarh," Goyal tweeted.
Congratulating state-run NHPC's team, Goyal said "the power generated will benefit Jammu and Kashmir immensely and give an impetus to the local economy and create employment for locals".
A memorandum of understanding between the Centre and J&K was signed on July 20, 2000 during the Vajpayee-led NDA regime.
The power project was to be completed in June last year, but the inauguration had to be postponed after NHPC found a lot of slit near head as well as at the rear tunnel during the mandatory pre-testing.
Uri-II will help NHPC to increase its power generation capacity to 1,920 MW from five projects in the state. The other four projects are 690-MW Salal, 480-MW Uri-I, 390-MW Dulhasti and 120-MW Sewa-II.