India is rushing to build power plants in Chinese-claimed region, sources say

India plans to spend $1 billion to speed up construction of 12 hydroelectric power plants in the northeastern Himalayan state of Arunachal Pradesh, two government sources said, a move that could heighten tensions with China, which has claims to the region.

The federal finance ministry headed by Nirmala Sitharaman recently approved up to Rs 7.5 billion ($89.85 million) in financial assistance for each hydropower project in the northeastern region, the sources said.

According to the sources, with direct knowledge of the matter, under the scheme, around Rs 90 billion is likely to be allocated to the 12 hydropower projects in Arunachal Pradesh.