The Indian government and the French Development Agency have signed a credit facility agreement worth US$91.23 million for the development of two hydropower plants in the Asian country’s northern Himachal Pradesh state.
The funding will be applied to the 30-MW Deothal Chanju and 48-MW Chanju 3 facilities — both run-of-river projects that will be located within the Chanju River Basin.
Development of the project is being handled by the Himachal Pradesh Power Corp. Ltd., which to-date is currently working on building a hydroelectric portfolio with a cumulative output capacity of more than 3,100 MW, according to the French Development Agency.
AFD said the financing comes with “combined technical assistance program for optimizing the operational and financial management” of HPPCL’s hydropower assets, and supports the Indian government’s efforts to generate 40% of its total power from renewable sources by 2030.
Hiimachal Pradesh, located in India’s northern region, has a significant potential for hydropower recently estimated at about 24,000 MW, of which 21,500 MW are currently under development.
For more finance news, visit here.