(Feature Image: Sept. 07, 2025 pics showingg houses submerged in artificial lake in Lippa village)
It has been over three weeks since an artificial lake formed in Lippa village under Pooh division of Kinnaur district in Himachal Pradesh has not been breached fully. The lake was formed after flashflood in Pajer nullah in Sutlej river basin on Sept 4, 2025 which blocked the flow of Kerang stream. Subsequently, first floors of about 5 homes were submerged in the lake water. The deluge also damaged 5 irrigation channels, 2 potable water sources & several apple plants.

The lake formation further created safety threats for the village habitation and a bailey bridge on the Kerang stream. Following this, villagers raised the matter before the administration and public representatives. As a result, administrative efforts to breach the lake started about four days after its formation. The lake was partially breached but the operation was suspended for about a week for unknown reasons. The operation resumed, further widening its mouth and significantly lowering the water level. However, villagers said that the foundation of affected homes is still submerged and the threat persists.
Fearing more damages, the villagers wrote a letter to the High Court, Shimla few days after the incident. In the letter the villagers categorically have blamed the indiscriminate dumping of debris and muck by Himachal Pradesh Power Corporation Limited’s (HPPCL) Integrated Kashang Hydro Electric Power (HEP) Project in two nullahs feeding Kerang stream resulting in the formation of the lake.


Taking cognizance of the letter on Sept. 20, 2025, the High Court has directed concerned authorities including District Collector, Kinnaur and HPPCL to take immediate measures in the matter and file status report by Oct. 16, 2025.
Kashang HEP: The HPPCL has proposed to develop 243 Mw Integrated Kashang HEP on Kashang and Kerang streams in IV stages in Sutlej basin at an estimated cost of ₹478 crore. Kashang and Kerang river valleys are adjacent to each other and are separated by a high-altitude ridge. The salient feature and the EIA report of the ADB funded project can be seen here and here.
The 65 Mw Stage I of the Kashang HEP started in 2009. The project was commissioned in Sept. 2016 and officially inaugurated in Sept. 2017. The 130 Mw stage II & III component were granted environment clearance (EC) in April 2010 and Forest Clearance (FC) in June 2011. The construction work on the project already delayed by over a decade could be started only in 2023. The work on the 48 Mw Stage IV has not started yet.

Under Stage II & III, HPPCL is tapping Kerang stream about 3 km upstream of Lippa village to divert its flow towards Kashang stream by creating a 6.3 km long D shaped tunnel. Pajer is a seasonal nullah and Kerang is a perennial stream merging together just downstream of Lippa village. The Kerang stream then joins Sutlej river about 6 km downstream of the confluence point.
As per the villagers Pajer nullah is known for flashfloods bringing muck and debris in huge amount around Lippa village. They also say that Kerang stream is required to flush the materials downstream to avoid formation of artificial lake at the confluence point. This video shows scale of flashflood in Pajer nullah in 2013 at Lippa and a resident explaining why free flowing Kerang is essential for pushing the Pajer debris downstream.
However, the villagers have blamed the HPPCL for dumping Kashang HEP (II & III) construction debris in the streams feeding Kerang river. They have also said that HPPCL has not created proper muck disposal facilities for the project. As a result, the Kerang has been losing its flushing function and has led to formation of artificial lake at the confluence.
Controversies: Citing violations of tribal and forest rights in Schedule V area and overlooking ecological, geological and climatic threats, the local people have been opposing the Integrated Kashang HEP since the beginning. Challenging the Forest Clearance (FC) granted by MoEF&CC in May 2011, they filed a petition in National Green Tribunal (NGT) same month and in its interim order in Nov. 2012 the tribunal stayed tree felling for the project. Further in May 2016, the tribunal suspended the forest clearance for Kashang HEP II & III on the ground of violations of Forest Right Act 2006.
Though the state govt withdrew the petition filed in Supreme Court against the NGT order same year but in Nov. 2018 the state cabinet decided to lease out 17 hectare of forest land to the HPPCL to build the project without settling the forest right claims of the Lippa villagers. The locals again approached the High Court with two separate pleas one contesting the lease decision and the second to secure their forest right as directed by the NGT.
While hearing the lease case, the High Court in January 2019 dismissed the plea raising questions on the locus and motive of petitioner, the second case regarding settling of forest right claims is still pending in the High Court.
In June 2017, the CAG report has also flagged the project for massive cost overrun, higher power cost and lack of public consultation. Before this, considering its cumulative adverse impact and vulnerability to climatic threats, the project has been denied CDM fund.
Meanwhile, the EC for the Stage II & III component of the project expired in April 2020. Listing several reasons on why the project is economically unviable and environmentally destructive, HIMDHARA in May 2020 appealed to MoEF&CC to reject the HPPCL’s proposal seeking extension to the validity of EC for the project. As the HPPCL was absent when the EAC considered the matter on May 15, 2020, the proposal was deferred.
However, on June 24, 2020 meeting, shockingly, “the EAC treated the all IV Stages of Kashang HEP as single project and concluded that since the Stage-I was already commissioned in 2016, the EC becomes perpetual and the extension of the validity is to be reckoned with the date on which the first unit was commissioned. Hence there is no necessity of re-validation of EC for subsequent units.”
Changing Climate Meanwhile, the fears and concerns the local have been expressing against the Integrated Kashang HEP for long are turning right on the ground. As per them the dry region has been witnessing excessive rainfall, flashflood and cloudburst incidents impacting their lives, land and livelihoods. And the violations of the environmental norms and forest rights concerning the project have only compounded their adversaries.

Just a week before the artificial lake formation, the Lippa village suffered significant damages to farm land, cash crops, cattle sheds and other structures following a ‘cloudburst’ induced flashflood in Bhogati nullah which feeds the Pajer khad in the morning of Aug. 29, 2025. Two migrant farm workers from Jammu & Kashmir were also injured in the incident.
Now, the formation of lake in Lippa and subsequent damages and threats to Lippa villagers also show how correctly they had pointed out to keep the Kerang stream free flowing to check the flashflood impacts from Pajer khad. However, their valid concerns and legitimate rights have so far been betrayed by the central and state government agencies and even the by the judiciary.
SANDRP