Bank re-engages in Indian dams

5 October 2007

Following a ten year lull in the Bank’s involvement in India’s hydropower sector, in September it approved a $400 million loan for the 412 megawatt Rampur Hydropower Project on the Sutlej river in the Indian state of Himachal Pradesh. The South Asian Network on Dams, Rivers and People, and local communities claim that they have not been properly consulted, or informed. They point to the inadequacy of the environmental impact assessment which fails to consider potential landslides or the impacts of transmission lines. They are critical of the failure to look at less costly options, in light of doubts as to whether the new dam will actually meet peak demand.