Banikhet is located about seven kilometers from Dalhousie, India and is known for the [Chamera Power Station-1 ]. The road leading to Dalhousie and Chamba bifurcates at Banikhet. Banikhet forms an important part of tourism in Dalhousie. It is also known for the Jawala Mata Mandir and Helipad temples.
Banikhet is situated in the Dhauladhar range of the Himalayas at an altitude of 5,500 feet (1,700 m) above the sea level. It has daytime temperature of 25 °C and the night temperature of about 15 °C during summers.
Banikhet also possesses a number of tourist attractions that attract tourists from the different parts of the world. Moreover, with the establishment of the NHPC ltd's Chamera Hydro-Electric Project, residential and official buildings, it has attained prominence.