Hyderabad: In a significant step towards boosting clean energy, the Telangana govt has signed an MoU with the Himachal Pradesh govt to develop two major hydroelectric power projects—400 MW Seli and 120 MW Miar—in the Lahaul-Spiti district of Himachal Pradesh. The agreement was formalised in the presence of Himachal Pradesh chief minister Sukhvinder Singh Sukhu and Telangana deputy chief minister Bhatti Vikramarka.
Under this agreement, the Telangana Power Generation Corporation (TG Genco) has been assigned the projects on a nomination basis. The Telangana govt will invest an estimated ₹6,200 crore in setting up these power units and has already paid ₹26 crore as an upfront premium.
As per the terms of the MoU, Himachal Pradesh will receive free power from the projects in a phased manner—12% for the first 12 years, 18% for the next 18 years, and 30% for the remaining 10 years. After 40 years, both projects will be transferred to the Himachal Pradesh govt. Additionally, Telangana will contribute 1.5% of the project cost towards the local area development fund (LADF) and provide an extra 1% free power for LADF after commissioning. Affected families will also receive monetary benefits equivalent to 100 units of free electricity per month for 10 years.
“This MoU marks a strategic collaboration between the two states, leveraging Himachal Pradesh’s hydropower potential and Telangana’s commitment to sustainable energy solutions. The Seli and Miar projects will play a crucial role in meeting Telangana’s growing demand for clean energy and ensuring long-term energy security,” said Vikramarka.
He further emphasised that Telangana’s Clean & Green Energy Policy 2025 aims to diversify the state’s energy portfolio while prioritising environmental sustainability. By partnering with Himachal Pradesh, Telangana is taking a crucial step towards securing a cleaner, greener, and more reliable power supply for the future.
Given its access to perennial Himalayan rivers, Himachal Pradesh has the advantage of generating hydropower for 9-10 months a year, unlike the limited hydropower generation capacity of South Indian rivers.
The MoU signing ceremony was attended by key officials, including Telangana principal secretary (energy), Genco CMD Sandeep Sultania, TGSPDCL CMD Musharraf Faruqui, Telangana Genco director (hydel) M Sachidanandam, Himachal Pradesh chief secretary Prabodh Saxena, and secretary (power) Rakesh Kanwar.
