KATHMANDU: Minister for Energy, Water Resources and Irrigation Biraj Bhakta Shrestha has said that Nepal and India have agreed to increase their cross-border electricity transfer capacity for both imports and exports.
Speaking at a press conference at the ministry on Wednesday to highlight its achievements over the past six months, Shrestha said policy arrangements to allow the private sector to engage in electricity trading were in the final stages.
He said the government aims to make the energy sector a foundation for the country’s economic development.
Despite damage to energy infrastructure caused by natural disasters, efforts to restore services and continue development projects have been ongoing, he said.
Shrestha also said scientific and objective criteria had been developed to guide power purchase agreements (PPAs) based on national needs and system demand.
The proposed criteria prioritise generation capacity to meet peak evening demand during the dry season, energy contributions during the dry months, consistency in monthly generation, availability of transmission infrastructure and the assurance of export capacity by the time projects begin commercial operation.
According to the minister, the commercial operation deadlines for 27 hydropower projects nearing completion, with a combined capacity of 540.47 megawatts, have been extended.
He said the agreement with India would increase Nepal’s electricity transfer capacity for imports from 1,000 megawatts to 1,400 megawatts and for exports from 1,100 megawatts to 1,650 megawatts.
On irrigation, Shrestha said implementation plans had been prepared to complete national pride projects within specified deadlines.
The ministry also said relief had been provided to six families of Nepal Electricity Authority employees who went missing following the floods in Rasuwa and Nuwakot on September 10.