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Kishau Multipurpose Project: Himachal says wont bear costs, puts forth 3 conditions before final decision

The state placed three key requirements before the central government: full central funding of the project, the release of around Rs 4,000 crore in pending arrears of the Bhakra Beas Management Board (BBMB) and the settlement of long-pending issues regarding the oustees of the Pong Dam and BBMB projects.

3 min readShimlaUpdated: Dec 15, 2025 10:16 PM IST

These demands were placed at a Upper Yamuna Board meeting held in New Delhi on December 13, under the chairmanship of Union Home Minister Amit Shah. Representatives from Uttarakhand, Punjab, Haryana and Delhi were also present at the meeting.

Ammonia levels in Yamuna remain high; Wazirabad WTP still operating below capacity despite improving water supply. (File)

Himachal Pradesh government on Saturday told the Centre that it will not bear any financial expense for the Kishau Multipurpose Project’s construction on the Tons River, proposed on the Himachal Pradesh-Uttarakhand border, in New Delhi. The state placed three key requirements before the central government: full central funding of the project, the release of around Rs 4,000 crore in pending arrears of the Bhakra Beas Management Board (BBMB) and the settlement of long-pending issues regarding the oustees of the Pong Dam and BBMB projects.

These demands were placed at a Upper Yamuna Board meeting held in New Delhi on December 13, under the chairmanship of Union Home Minister Amit Shah. Representatives from Uttarakhand, Punjab, Haryana and Delhi were also present at the meeting.

Himachal Pradesh Secretary (Energy) Rakesh Kanwar was among those who attended the meeting. Kanwar told The Indian Express, “The state conveyed its concerns regarding the Kishau project, which is proposed in Sirmaur district on the Tons River, a tributary of the Yamuna, adjoining Uttarakhand.”

He clarified that Himachal has not opposed the project but has placed its three requirements before the Centre. He said states such as Punjab, Haryana, Uttar Pradesh and Delhi would be the major beneficiaries of the project, while their financial contribution to the expenditure remains unclear. Kanwar also said that Himachal would be the worst affected in terms of displacement of villages and people.

The energy secretary also said the project is proposed under a 90:10 funding formula — the Centre would bear 90 per cent of the cost, while Himachal and Uttarakhand would together bear the remaining 10 per cent. “We stressed that our financial share should also be borne by the Centre. A representative from Uttarakhand was also of the view that if Himachal is granted such a relaxation, Uttarakhand should be given the same,” Kanwar said.

Sources said the 10 per cent cost to be shared by Himachal and Uttarakhand amounts to Rs 1,536 crore.

The proposed multipurpose project site in Himachal Pradesh lies in Sirmaur district, around 50 km upstream of Dakpathar and 10 km upstream of the existing Ichhari Dam. The project is estimated to cost around Rs 11,500 crore and is expected to generate 660 MW of power.

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As per a feasibility study conducted in 2020, around 1,498 hectares of land, including eight villages in Himachal Pradesh with about 2,092 people are likely to be impacted. In Uttarakhand, about 1,452 hectares across nine villages and an estimated 3,406 people are likely to be impacted. The total submergence area is estimated at 2,950 hectares. The memorandum of understanding for forming a joint venture to execute the project was signed between Himachal Pradesh and Uttarakhand in June 2015.

Saurabh Parashar

Saurabh Parashar is an Assistant Editor at The Indian Express, primarily responsible for the publication’s coverage of Himachal Pradesh. He is a seasoned journalist with over 17 years of experience in print media, specializing in crime, legal affairs, and investigative reporting. Professional Background Education: He holds a Master’s degree in Mass Communication from Guru Jambheshwar University of Science & Technology (Hisar) and a Law degree from Himachal Pradesh University (HPU), Shimla. This legal background significantly informs his reporting on complex judicial and administrative matters. Career Path: Before joining The Indian Express in 2017, he spent 12 years with The Times of India. Core Beats: His primary focus is the socio-political landscape of the hill state, with a specific emphasis on the environment, forest conservation, drug menace (specifically "Chitta"), affairs related to tribal and archaeology and the unique challenges of governance in high-altitude regions. Recent Notable Articles (Late 2025) His recent reporting highlights the critical intersection of policy, law, and social safety in Himachal Pradesh: 1. "Himachal’s battle against Chitta: Why the border areas are most vulnerable" (Late 2025): An investigative look at the transit routes from Punjab and the impact on local youth. 2. "Shimla ropeway clears key hurdle as 820 trees face the axe :According to the Forest Survey of India’s 2021 assessment, 47.21 percent of Shimla’s 5,131 sq km geographical area is under forest cover (Nov 17, 2025). 3. "Himachal to handover 2.7427 ha of non-forest land for Shimla Ropeway: Given the land’s non-forest nature, RTDC and the state will not require permission from MoEFCC" (Nov 18, 2025) 4. "How the centuries-old Jodidara tradition is fading in Himachal’s Trans-Giri region: Jodidara: a form of fraternal polyandry—has long been part of Hatti tribal culture in the Trans-Giri region of Himachal Pradesh and adjoining Uttarakhand. It is believed to have evolved to prevent division of ancestral land and maintain unity among brothers in the harsh, mountainous terrain" (Aug 18, 2025) Legal & Agricultural Affairs "Kisan Sabha hails SC’s setting aside Himachal HC order to remove orchards from forest land" (Dec 18, 2025): Covering a major Supreme Court victory for farmers, where a High Court order to remove fruit-bearing apple orchards was overturned. "Himachal Cabinet nod to new tourism policy; focus on home-stays in tribal areas" (Dec 11, 2025): Detailing the legislative push to decentralize tourism and bring economic benefits to Lahaul-Spiti and Kinnaur. 3. Governance & Environment "Forest rights and development: Why Himachal is seeking more leeway from Centre" (Dec 19, 2025): Reporting on the legal hurdles faced by the state in infrastructure projects due to the Forest Conservation Act. "Cloudbursts and resilience: How Himachal’s remote villages are building back better" (Nov 2025): Following up on the long-term rehabilitation efforts after monsoon-related disasters. Crime especially cyber crimes, crypto currency etc: crypto currency: "Agents in uniform, motivational speeches, lavish parties: How a Himachal crypto con went unnoticed:A serial conman, a ‘Nelson Mandela Nobel Peace Award winner', and retired policemen got together to pull off a Rs 1,740-crore fraud" (Nov 10, 2023) Signature Beats Saurabh is recognized for his tenacious reporting on the state's drug epidemic. His deep familiarity with the topography and tribal culture of Himachal allows him to report from remote locations like Spiti, Pangi, Shillai, which are often overlooked by national media. His legal expertise makes him a primary choice for covering the Himachal Pradesh High Court on issues ranging from local body elections to environmental PILs. X (Twitter): @saurabh_prashar . ... Read More

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