Dikhu Hydroelectric Project on the brink: Will there be a breakthrough?

The long-standing unresolved issue between the Nagaland Power Department and the villages of Nyang and Kangching in Longleng district has brought the Dikhu 186 MW Project to a standstill. With only five months left before the Techno Economic Clearance (TEC) expires in March 2025, all eyes are on whether the two parties will reach a breakthrough in the interest of the State and the people.

TEC is a crucial statutory requirement, according to former Engineer-in-Chief of the Power Department, Er Moa Aier. He explained that TEC functions like a license for any financial institution to commit to a project. It was also informed that the Dikhu Hydroelectric Project (HEP) is to be funded under Foreign Direct Investment (FDI), and since the funding is through FDI, it will not commit without TEC, which will bring the project proposal to a premature end.

“Once this happens, there is very little chance of reopening the proposal for the foreseeable future. The Developer would also claim compensation, which will be a very heavy burden for the State to bear,” said Aier.

Dikhu HEP is a joint venture between the Department of Power Nagaland and Manu Energy System Private Limited, with an equity share of 24% and 76%, respectively. Aier further explained that the Central Electricity Authority (CEA) had extended the TEC three times and was initially reluctant to do so for the third time. However, after several requests and meetings, another extension was granted on the condition that the land issues must be resolved by March 2024, and the TEC extension granted till 31 March 2025.

The proposed Dikhu HEP spans three districts: Mon, Longleng, and Mokokchung. The project has been in discussion since 2009, with the department working on it ever since. Reports of the project’s model display were also presented in 2012. Aier mentioned that the department introduced the project during a DUDA meeting in 2009 and received “No Objections” from all villages in 2012.

Land survey by the District Administration with Power Dept and the Developer was successfully conducted in all villages of Mon sector and Mokokchung sector. In Longleng sector too, survey was conducted in all the project area villages during the same time. However, issues arose in 2017-2018 when the land survey was stopped in the two villages of Kangching and Nyang.

Where does the issue lie?

The project area submergence of the 186 MW Dikhu Hydroelectric Project will touch lands of 17 villages, with the submergence area distributed among them. According to the power department, although some paddy fields and plantations will be affected, the submergence area will primarily consist of gorges, cliffs, wasteland, and other uncultivable land, covering about 2,013 hectares—40% less than the area submerged by the Doyang Hydroelectric Project. However, the villages of Nyang and Kangching fear that the submergence will affect approximately 50% of their village area, while the department insists it will be less than 5%.

These are both approximations, as the land survey has yet to be conducted. The department’s claim is based on a study conducted by the Department, while the villagers’ claim is based on estimation. Thus, the need for a land survey to ascertain the ground situation is crucial, but attempts and requests to conduct one have been unsuccessful so far.

Why has the land survey not been conducted?

MT learned that the land survey could not be conducted due to miscommunication, mistrust, and perhaps a lack of adequate dialogue between the department and the two apprehensive villages.

The department told MT that they had made repeated attempts to approach the villages. They narrated instances where they were chased out of the village and had their camps burned while trying to conduct the land survey. “The department has made repeated requests and written several letters to visit the site for consultation; however, there has been no positive response,” the department said.

When the village representative was inquired about this matter, they confirmed to MT that such incidents had occurred. However, the representative explained that these actions were taken because the department had approached them directly for the land survey without first seeking permission.

According to the village representative, all the communications they received were about the “land survey,” and the villagers believe that granting permission for the land survey equates to granting permission for the project to proceed.

“The citizens of the village believe there must be direct communication between the village and the department, where they first sit and discuss the project, its merits and demerits, and issues such as land compensation and losses. Only after thoroughly understanding everything will the village decide whether to allow the land survey,” the village representative told MT.

He further added that while the department had addressed letters to the village councils, it is the apex citizens’ forum that has opposed the survey.

When asked to the department whether they had made any attempts to meet the villages directly, the department said on 17 May, 2024, they went to meet all the villages directly to see if they have apprehension or demands but out of the seven villages, Kangching and Nyang did not turn up.

The projected areas of the project include 7 villages in Longleng district – Tamlu, Nyang, Yongnyah, Tangha, Kamahu (Yongshei), Yachem and Kangching; 5 in Mon district – Wanching, Chingpoi, Chinglong, Aopao and Chingtang; and 3 in Mokokchung district – Merangkong, Changtongya Old and Yaongyimsen.

“On November 2022, the Chief Engineer (T&G) had also personally visited Kangching village and stayed overnight in order to hold discussion with the Village Council, but yet the village did not agree, saying that “if they agree, the younger generation shall blame them,” the department said.

Meanwhile, the village representative said that the department instead of directly meeting the two villages and talking with them had been lobbying around seeking “third party” intervention which they had found to be “offensive”. The villages believe that the department should meet them and discuss with them as it concerns their land and livelihood. However, the department viewed that the district administration is not the third party for they are a part of the government and the land survey is under the district administration jurisdiction.

This deadlock has existed for a while and the 186 Dikhu HEP had been in a limbo ever since.

What is the present status?

After hearing both sides of the argument,  MT communicated the villagers’ concerns to the department and asked whether they would be willing to address them. The department responded, “We have written to both villages—Nyang in April 2024 and Kangching in July 2024 for a detailed discussion —and we are still waiting for their positive response.”

With about three months having passed, MT asked whether the department would make another attempt. The department said, “Nothing is stopping us from talking. We are saying, come, let’s have a discussion. We are absolutely ready to meet with them and hear their apprehensions and concerns.” The Department said that they have repeatedly communicated that the villages can frankly share all apprehensions if any, and also their demands if any, which could be freely discussed across the table. However, they had continued to refuse a dialogue.

The department also mentioned that, since sending the letters, they have been reminding certain individuals about them, hoping that reason would prevail.

“We encourage the villagers to make an informed decision, not based on propaganda and assumptions. We have even communicated to them that: if, after the land survey, it is found that there are more losses than benefits for the villages, we will not force the project on them. We ask them to present any grievances so that we can sit and discuss them. The ball is now in their court,” the department said.

When MT relayed this message to the village representative, the representative said that while nothing is certain, there are discussions among the citizens about potentially relaxing the strict bandh imposed on the project. They are considering sitting for a meeting in October 2024, where they will decide the way forward.

The department added that, if the two villages ultimately disagree, they will stop pursuing the plan and will prepare a “white paper.” The Department said, “after March 2025, the matter will no longer be in our hands, and the project proposal shall die a premature death, and the Department will not be held liable for the loss for the State.”

Why is Dikhu HEP important?

According to the power department, contrary to popular belief, potential sites for large hydro project development are limited in Nagaland. Currently, apart from the Doyang HEP (75 MW), which is under a Central Power Sector Unit and owned by New Delhi rather than the state, only the Dikhu Hydroelectric Project (186 MW) and Tizu-Zungki HEP (150 MW) have been identified as large hydro projects.

At present, Nagaland generates only 24 MW from the Likimro HEP in Kiphire District, 1 MW from the Lang HEP in Noklak District, and 1 MW from the Tehok HEP in Mon District. The state’s power requirement is about 230 MW, expected to rise to 686 MW by 2030.

With minimal power generation within the state, Nagaland relies primarily on central sector allocations of about 202 MW of installed capacity, with the remainder purchased from expensive energy sources, according to the department. As a result, the Dikhu HEP is an ambitious initiative aimed at meeting the growing power demand and ensuring energy security for the state.

With the TEC deadline approaching and both sides yet to reach an agreement, the fate of the Dikhu HEP remains uncertain. The outcome of a potential meeting in October could determine the project’s future and, by extension, Nagaland’s energy prospects. If an agreement is reached, the next critical step will be conducting an Environmental Impact Assessment (EIA) to assess the project’s environmental feasibility. The results of the EIA will also play a crucial role in deciding whether the project can move forward and contribute to meeting the state’s growing energy needs. 

(NB: All images courtesy Manu Energy Systems )

MT