Grant of NRs. 10 million for every MW.

The government will provide a grant of Rs 10 million per MW for hydropower promoters from the next fiscal year. The Energy Ministry has already sent the proposal to provide grant to the promoters of the Finance Ministry. The budget for the next fiscal year will have the provision for grant.

Possibility for “Exit” seems encouraging for hydro investors with the recent growth in capital market.

In my last post GETTING INTO NEPALESE HYDRO I wrote about how to get into Nepalese hydro. But in this post, I will be writing about the “Exit” environment that Nepal offers to foreign investors. Before moving to the subject matter, I would like to mention about the Nepalese law regarding “exit”.

Modi's rise to be fruitful to Nepal: Experts

Chinese diplomats and experts on South Asian issues have taken the rise of Narendra Modi in India as the Prime Minister as fruitful for Nepal and the entire region. China has expected that the new government in Delhi would boost regional interrelationship and similarly would attract joint investment in the hydro power sector in Nepal.

Govt to prioritise energy sector

Minister for Finance Ram Sharan Mahat has said that the government is coming up with a substantial plan to increase investment in the energy sector through the budget for next fiscal year. The sector has been given priority to end load-shedding within the next three years and help achieve healthy economic growth. 

World Bank okays $84.6m for Kabeli-A hydel project

The World Bank Group on Friday approved financing worth $ 84.6 million for the Kabeli-A Hydroelectric Project. The funding package includes a $ 40 million loan and a $ 6 million grant from the International Development Association (IDA) besides a $ 19.3 million loan from International Finance Corporation (IFC). Additionally, the package includes a $ 19.3 million loan from the Canada Climate Change Program (CCCP) for which the IFC acts as the implementing agency.

Govt drafts policy to allow NRNs to directly invest in stock market

If all goes as planned, the government will open the door for the Non-resident Nepalis (NRN) to directly invest in the stock market within a month or two.

$440 million project planned at Marsyangdi, Kali Gandaki corridor

Lack of transmission lines has been a major deterrent to potential local and foreign investors in the hydropower sector, prompting donors to help Nepal set up power lines by providing a massive cash infusion.

GETTING INTO NEPALESE HYDRO

The fresh election held five months back has given a hope to all Nepalese people. It looks like the newly formed government is going to give us a new constitution within a year which was their promise. The country has suffered already. So it is the time for new leadership to prove that they can bring “Change”. It’s like “Now or Never” for all the political leaders. As such political parties are committed toward economic reforms in the country. And hydropower tops the list.