Pema Khandu Welcomes Union Cabinet's Small Hydro Power Scheme for 2026–31

Itanagar: Arunachal Pradesh Chief Minister Pema Khandu on Wednesday welcomed the Union Cabinet's decision to approve the Small Hydro Power (SHP) Development Scheme for the period 2026–31, calling it a major boost for clean energy and rural development in the Northeast.

Reacting to the Cabinet decision taken under the leadership of Prime Minister Narendra Modi, Khandu said the scheme would help tap the state's vast hydropower resources and speed up sustainable development in remote and border areas.

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Khandu shared his response on X, describing the Cabinet's move as a welcome and timely decision.

"This is a big boost for the North East, especially Arunachal Pradesh, where our rivers hold immense untapped potential. The enhanced financial support for hilly and border areas will help unlock clean, decentralised energy in remote regions," he wrote.

The Chief Minister highlighted that several rivers in Arunachal Pradesh remain untapped for power generation, and that the new scheme's focus on hilly and frontier states could change that.

Khandu was keen to stress that small hydropower projects carry benefits well beyond electricity generation.

"Small hydro projects are not just about power. They bring local employment, promote sustainable development, and strengthen infrastructure in frontier areas without large-scale displacement," he said.

This is a notable distinction from large dam projects, which have historically drawn criticism over displacement of communities and environmental disruption.

Looking at the longer-term picture, Khandu expressed confidence that the scheme, if well executed, could reshape the economic landscape of Arunachal Pradesh's rural and border regions.

"With the right planning and execution, this scheme can transform rural economies, empower local communities, and position our region as a leader in sustainable hydropower," he added.

The Union Cabinet recently approved the Small Hydro Power Development Scheme for 2026–31, with the aim of expanding renewable energy generation through small hydro projects across India.

The scheme is designed to provide enhanced financial support for projects in hilly and border areas, with a specific focus on northeastern states, to encourage the buildout of clean, decentralised power infrastructure in regions that are harder to reach through conventional grid expansion.