NHPC Limited remained in focus after signing a Memorandum of Agreement (MoA) with the Government of Arunachal Pradesh for the development of the Etalin Hydropower Project (HEP) with an installed capacity of 3,097 MW.
The agreement, signed on June 16, 2026, establishes the framework for the investigation, development, financing, construction, operation, and maintenance of one of India’s largest proposed hydropower projects.
NHPC Signs MoA for Etalin Hydropower Project
According to the company’s exchange filing, the Government of Arunachal Pradesh has authorised NHPC to undertake:
- Preliminary investigations
- Preparation of the Pre-Feasibility Report (PFR)
- Detailed investigations
- Preparation of the Detailed Project Report (DPR)
- Project financing
- Construction and commissioning
- Long-term operation and maintenance
The project will be developed on the Dri and Tangon rivers in the Dibang Basin of Arunachal Pradesh.
Project Highlights
| Particular | Details |
|---|---|
| Project | Etalin Hydropower Project |
| Installed Capacity | 3,097 MW |
| Location | Dri & Tangon Rivers, Dibang Basin, Arunachal Pradesh |
| Agreement Signed | June 16, 2026 |
| Developer | NHPC Limited |
BOOT Model
The MoA provides for implementation under the Build, Own, Operate and Transfer (BOOT) model.
Key features include:
- 40-year lease period from the Commercial Operation Date (COD)
- NHPC responsible for financing, construction, operation, and maintenance
- Transfer of the project after completion of the lease period
Run-of-the-River Development
The Etalin project will be developed as a run-of-the-river hydropower project, in accordance with the Arunachal Pradesh Hydro Power Policy, 2008, along with subsequent amendments.
Run-of-the-river projects generally generate electricity using the natural flow of rivers while involving comparatively lower water storage than conventional reservoir-based hydroelectric projects.
NHPC Share Price Performance
As of 11:05 AM on June 17, 2026, NHPC shares were trading at ₹74.80, remaining largely unchanged compared with the previous trading session.
Why the Project Is Significant
The Etalin Hydropower Project is expected to:
- Strengthen renewable energy capacity
- Support hydroelectric power generation in Northeast India
- Enhance utilisation of the Dibang Basin’s hydropower potential
- Contribute to India’s long-term clean energy goals
Conclusion
NHPC’s Memorandum of Agreement with the Government of Arunachal Pradesh marks an important milestone in the development of the 3,097 MW Etalin Hydropower Project. The agreement authorises NHPC to undertake investigations, prepare project reports, arrange financing, and develop the project under the BOOT model, in line with the state’s hydropower policy. The project represents another significant addition to India’s expanding renewable energy infrastructure.
Disclaimer:
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