Mizoram government plans to outsource seven small hydel projects amid high maintenance costs

The Mizoram government has decided to privatise or outsource the operation of seven small hydroelectric power plants, citing escalating maintenance costs, a senior official of the state Power and Electricity (P&E) Department said on Sunday, December 21.

The decision was announced by Chief Minister Lalduhoma during the inauguration of a 10-MW solar power plant at Thenzawl in Serchhip district on Saturday. According to officials, the move is aimed at improving efficiency and reducing the financial burden on the state exchequer.

The Chief Minister said the government believes outsourcing these projects will prove beneficial for the state, as the cost of maintaining the small hydel plants has become increasingly unsustainable.

However, the decision has drawn sharp criticism from the opposition Congress. Former Congress legislator T T Zothansanga termed the move detrimental to Mizoram’s long-term interests and argued that privatising revenue-generating assets was unjustifiable.

Zothansanga pointed out that Mizoram currently has 14 hydroelectric projects with a combined installed capacity of over 100 megawatts (MW). Of these, nine were commissioned during Congress-led governments, three under the Mizo National Front (MNF) regime, and two during the People’s Conference government led by former chief minister Brig T Sailo.

He further claimed that several small hydel projects, including the 12-MW Serlui-B project in Kolasib district, are actively generating revenue and should not be handed over to private operators.

Meanwhile, the P&E Department confirmed that the state government plans to commence construction of two major hydel projects next year — a 24-MW project on the Tuirini river, about 60 km from Aizawl, and a 132-MW project on the Tuivai river in Saitual district near the Manipur border.

The estimated cost of the 24-MW Tuirini project stands at ₹676 crore, while the 132-MW Tuivai hydel project is projected to cost ₹2,400 crore and is expected to generate approximately 380 million units (MU) of electricity annually.

Chief Minister Lalduhoma also stated that the foundation stone for the Tuirini project will be laid in the near future, while planning for the Tuivai project is progressing steadily. Once completed, these projects are expected to significantly enhance Mizoram’s energy self-sufficiency.

In addition to hydropower expansion, the state government is planning to set up six new solar parks across Mizoram with a combined generation capacity of 66 MW.

At present, Mizoram does not have any major power plant and relies heavily on electricity imports, primarily from Tripura, spending nearly ₹400 crore annually to meet its energy requirements. Officials noted that the state’s annual power demand has grown by 7.6 per cent, with peak demand reaching 160 MW.

The ruling Zoram People’s Movement (ZPM) government has also reiterated its commitment to affordable electricity, having decided soon after assuming office not to revise power tariffs for five years, with the aim of benefiting economically weaker sections and small entrepreneurs.