Kishau Dam Project Clears 8-Year Hurdle as Six States Sign MoU

The Kishau Dam project has now cleared a key roadblock after Himachal Pradesh, Haryana, Delhi, Rajasthan, Uttar Pradesh and Uttarakhand entered into a Memorandum of Understanding (MoU) with the Centre on September 15, 2026. The ₹15,624 crore multipurpose project on the Tons River was stuck for almost eight years due to inter-state coordination and financial issues. After completion, the 660 MW project will serve irrigation, potable and industrial water, electricity generation and flow augmentation to the Yamuna.

What Is the Kishau Dam Project?

The Kishau Dam is proposed to be constructed on the Tons River, which is a tributary of the Yamuna, in the border area of Himachal Pradesh and Uttarakhand. It is being constructed by Kishau Corporation Limited, a joint venture of Himachal Pradesh and Uttarakhand.

The proposed project involves construction of a 232.6 metre high concrete gravity dam with a live storage capacity of 1,562 MCM.

It is a multipurpose water and power project.

Why Was the Project Delayed?

There were certain problems related to inter-state coordination and financial sharing which led to a delay in the project for about eight years.

Financial aspect was one of the major reasons for the delay in the case of Himachal Pradesh, which claimed that the state should not be subjected to extra financial stress in spite of facing certain adverse effects due to the project.

Under the new plan, the Centre would share 90 percent of the cost involved in the water component. The Chief Minister of Himachal Pradesh, Sukhvinder Singh Sukhu informed that the approximate ₹2,000 crore power component of his state would be shared by the beneficiary states from the water component, namely Delhi, Rajasthan and Haryana.

Important Advantages of Kishau Dam

This project is supposed to have irrigation potential for nearly one lakh hectares of agriculture fields. The project will also enhance drinking and industrial water supplies especially for Delhi and Rajasthan.

The reservoir would ensure future water security of Delhi and also supply extra water for the use of drinking and industrial purposes in Rajasthan.

There are other important environmental aspects as well for the project. The increased water flow would help to rejuvenate Yamuna.

How much power will be generated by Kishau Dam?

This 660 MW power plant will produce approximately 1,476 million units of electricity per year.

Himachal Pradesh will get approximately 1,000 million units of electricity per year through the completion of this project. According to Chief Minister Sukhu, this is likely to earn over ₹1,000 crore every year.