Cabinet Clears Rs 14,106-Crore Kalai-II Hydel Project
The Union Cabinet has approved the Kalai-II hydroelectric project in Arunachal Pradesh at an estimated cost of Rs 14,106 crore, according to DD News, which reported the clearance on 19 September 2026. No further details on the project's capacity, promoter, implementing agency or construction timeline were available from the reported headline.
| Detail | Information |
|---|---|
| Project | Kalai-II Hydro Power Project |
| Location | Arunachal Pradesh |
| Estimated Cost | Rs 14,106 crore |
| Approval Stage | Cabinet Cleared |
| Reported By | DD News, 19 September 2026 |
Arunachal Pradesh: A Leading State for Hydel Development
The Kalai-II clearance reinforces Arunachal Pradesh's position as one of the most active states for hydropower development in India. Projects India tracks 2,124 hydel-based power projects across the country, of which 415 are located in Arunachal Pradesh — the second-highest count of any state after Himachal Pradesh, which accounts for 435 tracked projects. Uttarakhand follows with 259, Maharashtra with 181, Jharkhand with 98 and Madhya Pradesh with 76.
The concentration of hydel projects in Arunachal Pradesh reflects the state's significant river systems and long-standing policy focus on tapping the northeast's hydropower potential. The Kalai-II project, once it progresses through approvals and into construction, will compete for contractor and supplier attention alongside hundreds of other projects already in the pipeline in the state.
Sector Pipeline: Where Projects Stand
Across all 2,124 hydel-based power projects tracked by Projects India, the largest share — 1,068 — remain at the Under Approvals stage, signalling a substantial volume of potential work that has yet to be confirmed for procurement. A further 263 projects have moved into active construction, while 69 have received approvals and are positioned to move forward. Another 208 are at the Planning stage, 247 have been completed, and 142 are on hold.
The Kalai-II project, now having received Cabinet clearance, would be expected to progress through subsequent regulatory and environmental approvals before construction contracts are tendered. Only one hydel-based power project has been added to the Projects India tracking database in the last 90 days, making Kalai-II a notable new entry to watch as details emerge.
Recent Large Hydel Projects in the Tracked Pipeline
The scale of the Kalai-II approval is notable in the context of other large projects currently tracked. Among recently monitored projects, the Hydel Power Project at Sileru in Andhra Pradesh, promoted by Andhra Pradesh Power Generation Corporation Limited (APGENCO), carries an estimated value of Rs 11,054 crore and has reached the Approvals Received stage. The Veeraballi Pumped Storage Project in Andhra Pradesh, promoted by Astha Green Energy Ventures Private Limited, is valued at Rs 12,788 crore and remains Under Approvals. The Pumped Storage Hydel Power Project at Badarwa in Uttar Pradesh, promoted by Jhariya Ananturja Private Limited, is valued at Rs 7,457.68 crore, also Under Approvals.
Suppliers and contractors active in the hydel segment can review the full tracked hydel pipeline to identify projects at stages aligned with their tendering capacity.
What this means for suppliers and contractors
For suppliers and contractors operating in the hydroelectric segment, the Cabinet clearance of Kalai-II represents an early signal of a large-value project entering the development pipeline in Arunachal Pradesh. With 415 hydel projects already tracked in the state and a national pipeline in which over 1,000 projects are still Under Approvals, the northeast corridor continues to offer a forward-looking pipeline for civil contractors, turbine and equipment suppliers, and specialist electromechanical firms.
At this stage, no tenders have been reported in connection with Kalai-II, and open tenders across the broader Power Projects sector currently stand at zero in the Projects India database. Suppliers are advised to monitor the project as it moves through subsequent approvals. Those seeking a broader view of capital expenditure across the power sector can consult the Projects India Power Projects sector overview for the latest pipeline data.
Frequently asked questions
What is the Kalai-II hydro project in Arunachal Pradesh?
The Kalai-II hydroelectric project is a hydropower development in Arunachal Pradesh that received Union Cabinet clearance at an estimated cost of Rs 14,106 crore, as reported by DD News on 19 September 2026. Further details on capacity and promoter have not been publicly confirmed.
How many hydel power projects are tracked in Arunachal Pradesh?
Projects India tracks 415 hydel-based power projects in Arunachal Pradesh, making it the second-most active state for hydropower development in India after Himachal Pradesh, which has 435 tracked projects.
Are there open tenders for the Kalai-II hydro project?
No tenders have been reported for the Kalai-II project following Cabinet clearance. The Projects India database currently records zero open tenders across the broader Power Projects sector, as the project is expected to move through further approvals before procurement begins.
