Srinagar: India’s first geothermal power project in Puga Valley has received a fresh push after the Union Territory administration approved a five-year extension of its agreement with the Oil and Natural Gas Corporation (ONGC), reviving a long-delayed clean energy initiative in the high-altitude Himalayas.
The extension was cleared by Ladakh Lieutenant Governor Vinai Kumar Saxena for the tripartite memorandum of understanding between the Ladakh administration, the Ladakh Autonomous Hill Development Council (LAHDC), and ONGC Energy Centre. The original agreement, signed in February 2021, had lapsed earlier this year.
Officials said ONGC sought additional time due to severe winter conditions, difficult terrain, and logistical constraints that slowed exploration work in the remote Himalayan region. The project site in Puga Valley lies at an altitude of over 14,000 feet, where extreme weather often limits construction and drilling activity.
Under the revised plan, ONGC will set up a one-megawatt pilot geothermal power plant and prepare a detailed project report for future large-scale development of geothermal resources in Ladakh. The initiative is expected to serve as a proof of concept for commercial geothermal energy production in India.
Puga Valley, along with nearby Chumathang, has long been identified as one of the country’s most promising geothermal zones due to its hot springs, sulphur vents, and underground thermal reservoirs. Preliminary exploration in the region dates back to the 1970s, but commercial progress remained stalled for decades due to technological and geographic challenges.
ONGC officials said the company successfully drilled Ladakh’s deepest geothermal well in 2025, reaching about 405 metres despite harsh weather conditions. Early geothermometric analysis indicated subsurface temperatures exceeding 240°C, considered suitable for power generation.
The pilot plant is expected to operate at turbine inlet temperatures of around 200°C and generate roughly one megawatt of electricity. A second phase will focus on additional drilling and surveys across the broader geothermal belt, with testing and commissioning targeted for the 2026–27 financial year.
Authorities highlighted the strategic importance of the project, noting that transporting diesel and maintaining conventional power systems in border regions remains expensive and unreliable during winter months. Ladakh currently depends heavily on diesel generators and seasonal supply systems, while solar output drops significantly in winter due to snow cover and shorter daylight hours.
Lieutenant Governor Saxena described geothermal energy as a potential “game changer” for Ladakh, saying it could strengthen energy security and support efforts to make the region carbon-neutral and environmentally sustainable.
Experts say geothermal energy could complement India’s existing renewable mix by providing continuous baseload power, unlike solar or wind, which are weather-dependent. Globally, countries such as Iceland, the United States, Indonesia, and New Zealand already rely on geothermal systems for electricity and heating.
India has identified geothermal potential in several regions, including Ladakh, Himachal Pradesh, Uttarakhand, and Gujarat, but has yet to commission a commercial-scale plant. The renewed push in Puga Valley is therefore being seen as a critical test case for the country’s long-delayed geothermal ambitions.
