The approval for enhancing the power generation capacity of the project was accorded at a cabinet meeting chaired by Chief Minister Omar Abdullah here.
The cabinet also accorded administrative approval to the Water Supply Scheme Kishtwar Town at an amount of Rs 53.15 crore under Special Task Force, an official spokesman said.
In other decisions, the government approved release of seven per cent dearness allowance to the employees, pensioners and family pensioners with effect from July this year.