The Cabinet Committee on Economic Affairs on Wednesday approved the investment for 382 MW Sunni Dam Hydro Electric Project in Himachal Pradesh by SJVN Limited for an estimated cost of Rs. 2614.51 crore.
This includes Rs 13.80 crore as budgetary support from the Centre for cost of enabling infrastructure.
Ex-post facto approval has been given for cumulative expenditure incurred amounting to Rs 246 crore till January 2022.
Briefing reporters after a meeting of union cabinet, Information and Broadcasting Minister Anurag Thakur said the proposal for setting up of 382 MW Sunni Dam HEP by SJVN shall provide various benefits to local suppliers, local enterprises, MSMEs and shall encourage entrepreneurship opportunities within the country besides promoting employment and socio-economic development of the region.
The project will come up over the river Sutlej covering both Shimla and Mandi districts. It is expected to be completed in five years.
An official release said that the project cost of Rs 2614 crore includes hard cost amounting to Rs 2246.40 crore, Interest During Construction (IDC) and Financing Charges (FC) of Rs 358.96 crore and Rs 9.15 crore respectively.
The revised cost sanctions for cost variations due to quantity changes (including additions/ alterations/ extra items) and time overruns due to the developer shall be capped at 10 per cent of sanctioned cost.
The implementation of the project shall generate direct and indirect employment to about 4000 persons during peak construction of the project.
( With inputs from ANI )
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