REC Limited, a Maharatna CPSE and a leading NBFC under the Ministry of Power, has signed an agreement with Chenab Valley Power Project Limited (CVPPL) to provide a term loan of ₹2147.508 crore (Rupees Two Thousand One Hundred Forty-Seven Crore & Fifty Lakh Eighty Thousand only). The loan will be utilized for the development and construction of the greenfield Pakal Dul Hydro Electric Project, a 1000MW capacity hydroelectric project with a total estimated cost of ₹12,669.67 crore. The project is being developed on the Marusadar River, located in the Kishtwar District of Jammu & Kashmir.
The formal signing ceremony took place on February 11, 2025, at CVPPL’s Corporate Office in Jammu (J&K) in the presence of Sh. Ramesh Mukhiya, Managing Director, CVPPL and Sh. Bhupesh Chandolia, Chief Project Manager (CPM), REC Limited, Regional Office Jammu along with other senior officials from both organizations.
This strategic collaboration marks a significant milestone in the pursuit of sustainable energy development in the Jammu & Kashmir region. The Pakal Dul Hydro Electric Project is expected to play a pivotal role in harnessing renewable energy resources, contributing to the region’s energy security, and supporting India’s clean energy transition.
Previously, REC has signed an agreement in April 2024 with CVPPPL for financial assistance of ₹1869.265 Crore as Term Loan. The loan was for Development, Construction and Operation of Greenfield Kiru Hydro Electric Project (4 x156 MW) on River Chenab located in Kishtwar District of Jammu & Kashmir.