CVPPL Signs Rs 1,000 Crore Term Loan Agreement with J&K Bank for Pakal Dul Hydro Electric Project

In a major boost to the region's renewable energy infrastructure, Chenab Valley Power Projects Limited (CVPPL) has signed a Term Loan Agreement worth ₹1,000 crore with Jammu & Kashmir Bank Ltd. for the development and construction of the Pakal Dul Hydro Electric Project (4×250 MW) in Kishtwar district of Jammu & Kashmir.

CVPPL is a joint venture between NHPC Ltd. (51%) and Jammu and Kashmir State Power Development Corporation (JKSPDC) (49%), formed to harness hydroelectric potential in the Chenab river basin.

The formal agreement was signed on June 9, 2025, at CVPPL’s corporate office in Jammu. The signing ceremony was attended by Ramesh Mukhiya, Managing Director of CVPPL, and Vasant Hurmade, GGM (C&P), along with Sunit Kumar, Divisional Head (Jammu), and V.P.S. Jasrotia, LCU Head (Jammu) from J&K Bank, among other key officials from both organizations.

The loan will be exclusively utilized for the greenfield development of the Pakal Dul Hydroelectric Project, a landmark initiative on the Marusadar River, a tributary of the Chenab. Once completed, the 1,000 MW project will be one of the largest hydroelectric power stations in the Union Territory, significantly contributing to the region’s clean energy output and economic development.

This agreement signifies a major step toward sustainable energy development in Jammu & Kashmir, reinforcing the collaborative efforts between public sector enterprises and financial institutions to harness the region’s rich hydropower potential.