The Ladakh administration has extended ONGC’s agreement for the Puga Valley geothermal project, advancing India’s first geothermal power plant initiative.
Ladakh Lieutenant Governor Vinai Kumar Saxena has approved a five-year extension of the agreement for the proposed geothermal power project in the Puga Valley, enabling continued development of what is expected to become India’s first geothermal power plant. The project is being developed by Oil and Natural Gas Corporation (ONGC) in eastern Ladakh at an altitude of more than 14,000 feet.
Officials stated that the extension applies to the memorandum of understanding (MoU) signed between the Ladakh administration, the Ladakh Autonomous Hill Development Council (LAHDC), Leh, and the ONGC Energy Centre. The previous agreement had expired in February 2026.
ONGC had requested additional implementation time due to delays caused by difficult terrain and extreme weather conditions in the Himalayan region.
Under the revised agreement, ONGC will establish a 1-MWe pilot geothermal power plant in the Puga Valley and prepare a detailed project report (DPR) for the large-scale commercial development of geothermal resources in Ladakh.
India currently does not have a commercial-scale geothermal power facility, making the proposed plant the country’s first project of its kind.
Geothermal energy utilises heat stored beneath the Earth’s crust. High-enthalpy geothermal resources, including volcanic regions, geysers, and hot springs, are generally used for electricity generation, while low- and medium-enthalpy resources are suited for direct-use applications such as heating, cooling, agriculture, and aquaculture.
According to the Geological Survey of India (GSI), 381 hot springs with surface temperatures ranging from 35°C to 89°C have been identified across India. The organisation has also identified 10 geothermal provinces, including the Himalayan Geothermal Province and the Andaman and Nicobar Islands.
India’s geothermal power potential is estimated at around 10,600 MW, with the Puga and Chumathang regions in Ladakh considered among the country’s most promising geothermal zones.
The project also aligns with India’s National Policy on Geothermal Energy, 2025, which aims to integrate geothermal energy into the country’s renewable energy mix while supporting long-term energy security and India’s 2070 net-zero target.