Jammu, Feb 9: Jammu and Kashmir is set to witness a major expansion in its hydro power sector, with the combined installed generation capacity expected to reach 7,314.85 MW in 2030-31, Chief Minister Omar Abdullah said on Monday.

In a written reply to a question by National Conference legislator Khurshied Ahmad in the Assembly, Omar said J&K has 32 operational hydro power projects with an aggregate installed capacity of 3,540 MW.
These include 13 Union Territory sector projects with 1,197 MW, six central sector projects generating 2,250 MW, and 12 private sector (IPP) projects with a combined capacity of 92.75 MW, Abdullah, who is incharge minister Power Development Department, said.
He said the government has planned a capacity addition of 3,704.5 MW through eight proposed and six under-construction hydroelectric power projects, scheduled to be commissioned between 2026–27 and 2030–31.
The CM said there will be 1,685.7 MW capacity addition in 2026-27, 577.5 MW in 2027-28, 1,370 MW in 2029-30 and 141 MW in 2030-31, taking the overall installed capacity to 7,314.85 MW.
In response to another question about delay in execution of Ans (Nandoli) hydro power project in Ahmad’s constituency Gulabgarh which was tendered during 2011-12, Abdullah said the project was allotted in November 2012, and the implementation agreement was executed in March 2013.
However, the execution of the project has been delayed due to non-performance by the Independent Power Producer (IPP), on account of which the corporation issued a notice of default to it in August 2025, he said. In response, he said the IPP on October 8, 2025 submitted the Detailed Project Report (DPR).
Further, the IPP, in another communication on January 16, submitted a financial analysis indicating a 40 year levelized tariff of Rs 7.30/kwh, rendering the project techno-economically unviable as per the prevailing tariffs in the energy market.
The IPP has sought exit from the project along with refund of the deposited premium amount, attributing the delay to external factors and policy-related constraints, the chief minister said, adding the matter is under consideration by the J&K State Power Development Corporation in accordance with the provisions of the implementation agreement and Hydro Electric Power Policy 2011.