Himachal Pradesh and Telangana have signed a Memorandum of Understanding (MoU) for the development of two significant hydropower projects in the Lahaul-Spiti district. This collaboration marks a strategic step towards harnessing renewable resources, ensuring energy security, and promoting sustainable development in both states.
The agreement outlines the construction of the 400 MW Seli and 120 MW Miyad hydropower projects, which will be developed on a build-own-operate-transfer (BOOT) basis. This model is designed to deliver long-term economic and environmental benefits, with the projects slated to be handed back to the Himachal government after 40 years, ensuring lasting returns for the state’s economy. Officials from both states highlighted the strategic importance of this partnership. The Himachal government has set a clear vision to leverage its vast natural resources, particularly hydropower, to drive economic growth and self-sufficiency. The focus is not just on generating electricity but on creating a sustainable model that benefits local communities and contributes to India’s zero-carbon targets.
While addressing the media, an official from the Himachal government emphasised the transformative potential of these projects. “We are committed to utilising our natural wealth for the direct benefit of our people. This MoU is a step towards reclaiming control over our resources, ensuring that the revenues generated serve our state’s development goals,” the official stated. The hydropower projects will be pivotal in addressing energy demands, especially for Telangana, which is experiencing rapid industrial growth. The renewable energy generated will support Telangana’s expanding IT and industrial sectors, reducing dependency on fossil fuels and lowering carbon emissions.
The Telangana government also acknowledged the significance of this collaboration. An official from the state highlighted the role of hydropower in Telangana’s energy strategy, particularly as the state aims to achieve its 2025 renewable energy targets. “This agreement is a testament to how states can work together, leveraging each other’s strengths to create a resilient and self-sufficient energy ecosystem,” the official remarked. The MoU also reflects a broader trend of state-led initiatives in India’s energy sector. With the central government’s focus on renewable energy, state governments are increasingly taking the lead in forging partnerships that drive sustainable development. The Himachal-Telangana collaboration sets a precedent for other states to follow, showcasing how regional cooperation can accelerate India’s transition to a greener future.
As the projects move forward, they are expected to attract significant investments, create employment opportunities, and enhance the renewable energy capacity in India. Moreover, the partnership underlines the importance of state autonomy in energy planning, ensuring that local resources are harnessed responsibly for the benefit of all stakeholders. If successful, this model could pave the way for similar agreements between other states, contributing to a more decentralised and resilient energy framework in India.
