State-owned NHPC on Monday signed a pact with Bihar State Hydroelectric Power Corporation (BSHPC) to implement a 130.1-megawatt (MW) Dagmara hydroelectricity project in Bihar. Speaking on this occasion, Power Minister R K Singh said hydropower is important in the background of climate change and in the shift from fossil to non-fossil fuel for future generation.

A memorandum of understanding (MoU) has been signed on Monday between public sector hydropower firm NHPC and BSHPC for the implementation of the 130.1-MW Dagmara HE Project in the Supaul district of Bihar, the power ministry said in a statement.

The pact was signed and exchanged by the signatories in the presence of Union Power Minister R K Singh and Bihar Energy Minister Bijendra Prasad Yadav.

The MoU was signed by NHPC Director (Projects) Biswajit Basu on behalf of NHPC, whereas BSHPC Managing Director Alok Kumar signed the document on behalf of the Government of Bihar.

In his address, the energy minister of Bihar conveyed his gratitude on behalf of the state government to the power ministry and NHPC for taking up the implementation of the Dagmara project.

He further said the project will bring all-round progress and development in the state.

NHPC Chairman and Managing Director A K Singh said the Dagmara HE project will be a landmark project in the power sector scenario of Bihar as far as green power is concerned.

He further added that apart from generating clean and green power, the execution will boost the socio-economic and infrastructure development in the area and shall also create employment opportunities.

The 130.1-MW Dagmara HE project is to be implemented by NHPC on an ownership basis.

Currently, NHPC has 24 operational power stations with a total installed capacity of 7,071 MW.