BBC said in a report that theagreement was signed on Oct 22 between the State Government of Manipur andhydro developers Satluj Jal Vidyut Nigam Ltd and NHPC (formerly known as theNational Hydroelectric Power Corporation Limited) at New Delhi under majorwraps.
The deal would see the setting upof a joint company, which will be responsible for the construction of the damand the power plant, the report said.
The proposed project has sparkeddebates in Bangladesh after India took initiative to build the dam. Experts andrights activists have said Bangladesh would be adversely affected if the dam isbuilt upstream. Even in the State of Manipur, rights groups have beencampaigning against the scheme for years and demanded the government scrap theplan.
In Bangladesh, various politicalparties and environmentalists have taken firm stand against the plan, and aparliamentary team briefly went to Manipur in 2009 to have an idea about plantsite. But the helicopter carrying the team had failed to land at Tipaimukh dueto bad weather.
The raging debate and concerns bythe citizens' groups and media have led Indian prime minister Manmohan Singh toassure in a joint declaration that India shall not take any steps, regardingTipaimukh, that might adversely affect neighbouring Bangladesh, duringBangladeshi prime minister Sheikh Hasina's visit to India in 2009.
hydroworld.com, a websitecatering to the hydroelectricity industry, said that the deal had been signedand that the agreement states that NHPC will own 69 percent of the company,SJVN will own 26 percent and the Manipur government will own five percent.
BBC quoted Manipur government'sirrigation and flood control minister N Biren Singh as saying, "Thegovernment's policy is very clear, the Tipaimukh project shall be implemented.It will be funded with aid from the central government, specially the Ministryof Development of Northeastern Region (DoNER)."
Biren also told BBC that thestate government is also contacting the Indian prime minister Mahmohan Singh tomake him declare the project as 'a national project' of India.