Units 1, 2 and 5 of the project have started commercial operations, state-owned SJVN said in a regulatory filing to the stock exchange.
The 412 MW plant has six units, each with a capacity of 68.66 MW. The full project, which has the potential to generate 1,770 million units of electricity each year, is scheduled to be commissioned by June.
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As the home state, Himachal Pradesh will buy 30% of the electricity generated by the plant and will get an additional 12% free.
The remainder output will be supplied to other parts of the northern region - Haryana, Jammu & Kashmir, Punjab, Rajasthan, Uttar Pradesh, Uttarakhand, Chandigarh and Delhi.
The estimated cost of the World Bank-backed project is Rs 2,047.03 crore.
Shares of SJVN, formerly known as Satluj Jal Vidyut Nigam Ltd, closed at Rs 22.90, down 1.93% on the BSE.