UPSC Prelims Practice Questions — Govt. okays 2 hydro units in Arunachal

Q1. Under the terms sanctioned for the Kamala and Kalai-II Hydro Electric Projects, the developer provides '12% free power plus 1% for the Local Area Development Fund (LADF)' to the home State. In this context, the '1% LADF' component precisely refers to:

  • A. An additional 1% of generated power (over and above the 12% free power) earmarked to fund development of the project-affected local area
  • B. A 1% equity stake in the Joint Venture Company automatically transferred to project-affected families
  • C. A 1% reduction in the tariff charged to consumers within the host districts
  • D. A 1% cess on the project's revenue paid to the Union Ministry of Power for basin planning

Q2. With reference to the two hydro projects recently sanctioned in Arunachal Pradesh, consider the following: 1. Kamala HEP — installed capacity of 1720 MW. 2. Kalai-II HEP — located on the Lohit river in Anjaw district. 3. Kamala HEP — sanctioned investment outlay of Rs.14,105.83 crore. 4. Kalai-II HEP — to be implemented by NHPC Limited. Which of the above is/are correctly identified?

  1. Kamala HEP — installed capacity of 1720 MW.
  2. Kalai-II HEP — located on the Lohit river in Anjaw district.
  3. Kamala HEP — sanctioned investment outlay of Rs.14,105.83 crore.
  4. Kalai-II HEP — to be implemented by NHPC Limited.
  • A. 1 and 2
  • B. 2 and 4
  • C. 1, 3 and 4
  • D. 1, 2 and 3

Q3. Both the Kamala and Kalai-II projects are to be executed through a 'Joint Venture Company'. Which one of the following correctly describes this Joint Venture structure?

  • A. A company jointly owned by a central hydropower PSU and the Government of Arunachal Pradesh
  • B. A company wholly owned by NHPC Limited with no State participation whatsoever
  • C. A company owned exclusively by NHPC Limited and THDC India Limited together
  • D. A company entirely financed and owned by the Government of Arunachal Pradesh alone

Q4. In April 2026, the investment proposals for the 1720 MW Kamala and 1200 MW Kalai-II Hydro Electric Projects were sanctioned by which one of the following bodies?

  • A. Cabinet Committee on Economic Affairs (CCEA)
  • B. Cabinet Committee on Security (CCS)
  • C. NITI Aayog Governing Council
  • D. Central Electricity Authority (CEA)

Q5. The central Public Sector Undertakings that were handed the stalled hydropower projects of Arunachal Pradesh, and which are now executing Kamala and Kalai-II, function under the administrative control of which Union Ministry?

  • A. Ministry of Power
  • B. Ministry of New and Renewable Energy
  • C. Ministry of Jal Shakti
  • D. Ministry of Development of North Eastern Region (DoNER)

Q6. With reference to hydropower in Arunachal Pradesh, consider the following statements: 1. The State accounts for a large share — of the order of 40% — of India's assessed hydropower potential. 2. The State holds the largest untapped hydropower potential among Indian States. 3. Only a small fraction of the State's assessed hydro potential has so far been harnessed. 4. More than half of the State's assessed hydro potential has already been commissioned. Which of the above is/are correctly identified?

  1. The State accounts for a large share — of the order of 40% — of India's assessed hydropower potential.
  2. The State holds the largest untapped hydropower potential among Indian States.
  3. Only a small fraction of the State's assessed hydro potential has so far been harnessed.
  4. More than half of the State's assessed hydro potential has already been commissioned.
  • A. 1, 2 and 4
  • B. 1, 2 and 3
  • C. 2, 3 and 4
  • D. 1, 3 and 4

Q7. The Kamala Hydro Electric Project is spread across how many districts of Arunachal Pradesh?

  • A. Two
  • B. Three
  • C. Four
  • D. Five

Q8. The two project rivers differ in their drainage setting. Consider the following statements comparing them: 1. The Lohit, on which Kalai-II is built, is a tributary of the Brahmaputra, while the Kamala project lies within the Subansiri sub-basin. 2. The Kalai-II project lies in Anjaw district, whereas the Kamala project lies wholly within a single district. 3. Both project rivers ultimately drain into the Brahmaputra river system. Which of the statements given above is/are correct?

  1. The Lohit, on which Kalai-II is built, is a tributary of the Brahmaputra, while the Kamala project lies within the Subansiri sub-basin.
  2. The Kalai-II project lies in Anjaw district, whereas the Kamala project lies wholly within a single district.
  3. Both project rivers ultimately drain into the Brahmaputra river system.
  • A. 1 only
  • B. 1 and 2 only
  • C. 1 and 3 only
  • D. 1, 2 and 3

Q9. NHPC Limited, the executing PSU for the Kamala project, holds 'Navratna' status. In the context of central public sector enterprises, 'Navratna' status precisely denotes:

  • A. A grade conferring enhanced financial and operational autonomy on select high-performing CPSEs
  • B. A statutory classification created under the Companies Act guaranteeing sovereign debt backing
  • C. A category of loss-making CPSEs placed under a special revival package
  • D. A rank reserved exclusively for CPSEs in the atomic energy and defence sectors

Q10. Which one of the following is described as the country's largest hydropower project, being implemented by NHPC Limited (the executing agency for the Kamala HEP)?

  • A. Subansiri Lower Hydro Electric Project (2000 MW)
  • B. Tehri Hydro Power Complex
  • C. Dibang Multipurpose Project
  • D. Kalai-II Hydro Electric Project

Q11. India's Northeast hydropower push is widely read against China's mega hydropower project on the 'Great Bend' of the Yarlung Tsangpo (the upper Brahmaputra), which India monitors as a lower riparian State. The Chinese government formally approved this project in which year?

  • A. 2024
  • B. 2025
  • C. 2023
  • D. 2026

Q12. With reference to the Cabinet Committee on Economic Affairs (CCEA) that sanctioned these projects, consider the following statements: 1. Like other Cabinet Committees, the CCEA is constituted under the Government of India (Transaction of Business) Rules, 1961, and not directly by a provision of the Constitution. 2. The CCEA is invariably chaired by the Union Finance Minister. 3. Unlike the Cabinet Committee on Security, the CCEA deals primarily with economic policy and investment approvals. Which of the statements given above is/are correct?

  1. Like other Cabinet Committees, the CCEA is constituted under the Government of India (Transaction of Business) Rules, 1961, and not directly by a provision of the Constitution.
  2. The CCEA is invariably chaired by the Union Finance Minister.
  3. Unlike the Cabinet Committee on Security, the CCEA deals primarily with economic policy and investment approvals.
  • A. 1 only
  • B. 1 and 2 only
  • C. 1 and 3 only
  • D. 1, 2 and 3