In fact this was not the real reason for not goig for that. NHPC was ready to build a series of dams including one at Hogenkal. But, TN not only wanted a share of power from ones on the border like Hogenkal, but also on dams that are to be located deep in KN. Why should KN agree to share power generated from dams exclusively located in its territory? So, these dams have not taken off. Regarding seismic region, If terai region & JK (more seismically sensitive) can have mutiple dams, smaller dams can certainly be constructed upstream only if states agree.