The World Bank will proÂvide a loan of $ 648 million to the state run THDC India for constructing the Vishnugad Pipalkoti hydroelectric plant. This plant on the Alaknanda river is expected to generate 1,665 million units of electriÂcity annually. The World Bank in a statement said that the proÂject would help meet the sharp daily spurts in demand from households and industries at peak electricity consumption time. This would represent a valuable addition of peaking power to India's Northern Grid, which faces severe power shortages at high-conÂsuÂmption times.
The 444 MW Vishnugad Pipalkoti Project would also help reduce India's greenhouse gas emissions by 1.6 million tonne each year, compared to a thermal plant of the same capacity. The project will build a 65 m diversion dam near Helang village in Chamoli district of Uttarakhand to creÂate a small reservoir in the Alaknanda River.