Tehri Lake Tourism Project: $126.42 Million Loan Agreement Between Government of India and ADB
 
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Tehri Lake Tourism Project: $126.42 Million Loan Agreement Between Government of India and ADB

Sat 13 Sep, 2025

Context:

  • The Government of India and the Asian Development Bank (ADB) signed a loan agreement worth USD 126.42 million to promote sustainable and climate-resilient tourism in the Tehri Lake region of Uttarakhand.

Key Points:

  • Signatories: Juhi Mukherjee, Joint Secretary, Department of Economic Affairs, Ministry of Finance, and Kai Wei Yeo, Officer-in-Charge, ADB India.
  • The project will be implemented under “Sustainable, Inclusive and Climate-Resilient Tourism Development at Tehri Lake Area Project.”
  • Implementing Partner: Government of Uttarakhand.

Project Objectives:

  • Sustainable Tourism Development: To develop Tehri Lake as a year-round tourist destination with priority on environmental sustainability and climate adaptability.
  • Rural Development: Create employment and diversify income in the economically backward Tehri Garhwal district.
  • Climate Resilience: Establish climate-resilient infrastructure and nature-based solutions to address risks such as floods and landslides.
  • Inclusive Growth: Encourage participation of women, youth, and MSMEs in tourism services.

Major Interventions and Features

Tourism Infrastructure Upgradation:

  • Development of eco-parks, trails, viewpoints, and rest areas.
  • Safe and modern tourist facilities such as improved roads and traffic systems.
  • Ensure universal accessibility for differently-abled persons.

Sanitation and Waste Management:

  • Installation of modern sanitation facilities and waste management systems.
  • Focus on energy efficiency and water management for environmental protection.

Climate-Resilient Infrastructure:

  • Nature-based solutions like green buffers and restoration of catchment areas to reduce flood and landslide risks.
  • Construction of resilient infrastructure to withstand natural disasters.

Institutional Strengthening:

  • Improve capacity in local governance and tourism planning.
  • Community-led initiatives in disaster management and tourism services, particularly by women and youth.

Livelihood Support:

  • Livelihood matching grant program for women, youth, and MSMEs.
  • Promotion of local handicrafts and businesses.

Beneficiaries:

  • Local Residents: More than 87,000 local residents to benefit, especially through job opportunities and improved infrastructure.
  • Tourists: Around 2.7 million annual visitors will enjoy better facilities, sanitation, and safer tourism experiences.
  • Local Economy: Tourism income will strengthen local businesses and handicraft industries.

Tehri Lake (Tehri Dam Reservoir)

  1. Tehri Lake, located in Tehri Garhwal district of Uttarakhand, is one of the largest man-made lakes in India.
  2. It was formed by the construction of the Tehri Dam at the confluence of the Bhagirathi and Bhilangna rivers.
  3. The lake is not only important for hydropower generation but also famous for its natural beauty and tourism potential.

Location and Construction:

  • Location: Tehri Garhwal, Uttarakhand, India.
  • Construction: Under Tehri Dam Project, initiated in 1978 and substantially completed in 2006.
  • Rivers: Built at the confluence of Bhagirathi and Bhilangna rivers.
  • Dam Height: About 260.5 meters (one of the highest dams in the world).
  • Lake Area: About 52 sq. km (varies with water level).
  • Reservoir Capacity: Around 4.0 cubic km (approx. 4000 MCM).

Purpose:

  • Hydropower Generation: Installed capacity of 1000 MW.
  • Irrigation: Provides water for agricultural fields in surrounding areas.
  • Drinking Water Supply: Supplies water to parts of Delhi and Uttar Pradesh.
  • Tourism: Emerging as a hub for natural beauty and water sports.

Tourism Significance:

  • Natural Beauty: Surrounded by Himalayan ranges, offering scenic landscapes.
  • Water Sports: Boating, jet skiing, and kayaking facilities available.
  • Attractions: Tehri Dam, New Tehri town, and nearby hill stations like Dhanaulti.
  • Sustainable Tourism: Recently, the Government of India and ADB signed a $126.42 million loan agreement to develop Tehri Lake as a sustainable and climate-resilient tourism site (11 September 2025).

Environmental and Social Aspects:

  • Rehabilitation: Thousands displaced due to submergence of old Tehri town and nearby villages were rehabilitated.
  • Environmental Impact: Dam and lake affected local ecosystems; sustainable development initiatives are being taken.
  • Climate Sensitivity: Area is prone to landslides and floods, requiring climate-resilient infrastructure.

Economic Importance:

  • Employment: Jobs generated through tourism and hydropower projects.
  • Local Economy: Boost to handicrafts, hotels, and small businesses.
  • Visitors: Nearly 2.7 million tourists visit annually.

Connectivity:

  • Nearest Town: New Tehri (16 km), Dehradun (85 km).
  • Air: Jolly Grant Airport, Dehradun (90 km).
  • Rail: Rishikesh Railway Station (76 km).
  • Road: Well connected by road from Dehradun, Rishikesh, and Haridwar.

Asian Development Bank (ADB)

Details Information
Full Name Asian Development Bank (ADB)
Type Multilateral Development Bank
Established 19 December 1966
Headquarters Mandaluyong City, Metro Manila, Philippines
Member Countries 68
Current President Masato Kanda (11th President)
Governance System Operated by Board of Governors representing member countries
Functions Provides loans, technical assistance, grants, guarantees, and equity investments
Areas of Work Promotes sustainable, inclusive, and resilient development in Asia and the Pacific
India’s Status Founding Member
Role in India Provides financial and technical support for multiple projects

 

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