Kishau Multipurpose Project breakthrough

8 NOVEMBER 2026

Kishau Multipurpose Project is a massive infrastructure initiative on the Tons River (a major tributary of the Yamuna).
The project site directly straddles the mountainous border between Himachal Pradesh and Uttarakhand.
The project involves constructing a 232.6-metre concrete gravity dam designed to yield a 422-MW (or 440-MW) hydropower capacity and irrigate over 97,000 hectares of land across northern India.

September 2026 Inter-State Pact

For over six decades, the project remained in limbo due to rigorous disputes between basin states regarding financial liabilities and the distribution of water and power.
However, a historic breakthrough occurred on September 15, 2026, when six beneficiary states and Union Territories signed a formal Memorandum of Understanding (MoU) in Delhi.
The signing states include:
Himachal Pradesh
Uttarakhand
Uttar Pradesh
Haryana
Rajasthan
Delhi

Central Government Funding:

Estimated to cost between ₹13,000 crore and ₹15,624 crore, the project holds “National Project” status.
The Union Government funds 90% of the water component’s capital cost through central grants. The remaining 10% is distributed among the beneficiary states.

Himachal Pradesh refused financial liabilities

Himachal Pradesh flatly refused to assume financial liabilities for constructing the project’s multi-crore power component.
To clear the logjam, Delhi and Rajasthan agreed to absorb Himachal Pradesh’s power liability (estimated around ₹2,000 crore) in a 75:25 ratio.
In exchange for financing Himachal’s power liability, Delhi and Rajasthan will receive Himachal Pradesh’s allocated share of consumptive drinking water