In a setback to NCC Limited, formerly Nagarjuna Construction Company Limited, the Sikkim government is believed to have cancelled the proposed Teesta-I hydel power project that was bagged by the company.

According to a senior official of the Sikkim government, the state home department has issued a notification cancelling the 280 MW power project. "The project was cancelled for two reasons. Firstly, continuous opposition from locals on the project and secondly, environmental issues.