The Himachal Pradesh government will allot 27 hydroelectricity projects (HEPs) of 722.4 MW combined tentative power generation capacity in Chamba, Kangra, Lahaul-Spiti, Kullu, Shimla and Kinnaur districts of the state.
The government has invited bids from the private sector for running these projects on build, own, operate, and transfer basis. The developers will be required to pay the government a royalty in the form of free power from the projects. Of the 27 projects, 9 are in Chamba, 7 in Kinnaur, 5 in Kullu, 2 on the border of Chamba and Kangra, and one each in Kangra, Lahaul-Spiti, and Shimla, besides on border of Lahaul-Spiti and Chamba. Detailed reports for 7 projects are ready, while the preliminary feasibility reports for the rest are available. The developers will be free to dispose of the remaining power after meeting the royalty commitments and additional free power at 1 per cent of the deliverable energy on account of local area development fund.