EAC defers ToR for two Maharashtra PSPs over ESZ restrictions

The Expert Appraisal Committee (EAC) for River Valley and Hydroelectric Projects has deferred the Terms of Reference (ToR) applications for two pumped storage projects in Maharashtra due to their location within notified Eco-Sensitive Zones (ESZs). The decisions were recorded in the minutes of the 52nd EAC meeting held on April 13, 2026.

The first project, Maharashtra State Power Generation Company Limited (MAHAGENCO)’s Ghatghar Open Loop Pumped Storage Project Stage II (125 MW), involves an estimated investment of Rs 617.24 crore. It is proposed as an expansion of the existing 2×125 MW Stage-I project. The EAC noted that the site falls within the Kalsubai Harishchandragad Wildlife Sanctuary in the Western Ghats, a protected area. The ESZ notification S.O. 1367(E) dated April 28, 2017 restricts establishment of new major hydro-electric projects in this zone, except as permitted under applicable laws. The project also involves diversion of 7.04 hectares of forest land, for which Stage-I Forest Clearance has not yet been submitted.

The second proposal, THDC India Limited (THDCIL)’s Humbarli Birmani Off Stream Open Loop Pumped Storage Project (1,500 MW), has an estimated cost of Rs 8,470.89 crore and an annual generation potential of 3,207.44 MU. Key components, including the upper dam, reservoir, and intake, fall within the Mahabaleshwar-Panchgani ESZ. As per notification S.O. 52(E) dated January 17, 2001, only non-polluting and non-hazardous service industries and certain agro-based units are permitted in this zone. The EAC also referred to the Central Pollution Control Board (CPCB) classification dated February 12, 2025, under which hydel projects above 50 MW are categorised as Red category industries. Based on these provisions, the committee concluded that the project is not suitable for grant of ToR at this stage.

THDCIL had applied to the ESZ Monitoring Committee on February 18, 2026, seeking a No Objection Certificate (NOC). The project is located 8.82 km from the core zone of Koyna Wildlife Sanctuary within the Sahyadri Tiger Reserve, with the buffer zone around 3.30 km from the lower reservoir.

The EAC directed both project proponents to obtain necessary statutory clearances and NOCs from competent authorities before the proposals could be reconsidered.

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