SJVN, on March 23, 2023, signed the EPC contract agreement for civil and hydro-mechanical works related to the Central PSU’s Sunni Dam hydropower project in Himachal Pradesh.
In an official release, SJVN said that the EPC contract agreement, valued at Rs.1,098 crore, was signed with Hyderabad-based Rithwik Projects Pvt Ltd, in the presence of SJVN CMD Nand Lal Sharma.
The letter of award for the EPC contract was issued on January 14, 2023, and the formal contract agreement was executed on March 23, 2023, after the completion of all prerequisites, the SJVN release said.
Construction activities of various civil components of the project are going in full swing. Infrastructure development to facilitate timely execution of the project and mobilization of major contractors at the project site is at full pace, the release observed.
This project is scheduled to be completed within 58 months, which is by November 2027.
Run-of-River Scheme
The 382-mw Sunni Dam Project is a run-of-the-river project situated in the Shimla and Mandi districts of Himachal Pradesh on river Satluj. The project is expected to generate 1,382 million kWh (million units or MU) of electricity per year, at the levelized tariff of Rs.3.90 per unit and will contribute 1.1 million tonnes annually towards carbon emission reduction.
Also read: SJVN Awards Rs.612-Crore Solar EPC Contract To Tata Power Solar
Benefits to home state
On commissioning, 13 per cent of the electricity generated will be provided free of cost to the Government of Himachal Pradesh including 1 per cent for the Local Area Development Fund. For the project lifecycle of 40 years, this free power translates into benefits of Rs.2,803 crore to Himachal Pradesh. The development of the project will lead to community asset creation and infrastructure development. Project construction activities will result in direct and indirect employment opportunities to around 4,000 persons. This will lead to the overall socio-economic development of the state of Himachal Pradesh, the release added.
CCEA Approval
It may be recalled that on January 4, 2023, the Cabinet Committee on Economic Affairs (CCEA) chaired by Prime Minister Narendra Modi approved investment for SJVN’s 382-mw Sunni Dam hydropower project, for an estimated cost of Rs.2,614.51 crore, including Rs.13.80 crore as budgetary support from Government of India for the cost of enabling infrastructure.
