Election Manifesto

Having a huge hydropower potential, all politicians, policy makers and experts have come to a common understanding that hydropower development is a key determinant of the growth potential of Nepali economy. As such, all major political parties have declared to exploit the hydro resources in their election manifestos.

Rates for Peaking Run of River

Developers of peaking run of river hydropower project can enjoy better rates. Developer will be entitled to receive Rs. 8.50 to Rs. 10.55 per unit.

Take or Pay PPA

NEA has recently changed the “Take and Pay PPA” to “Take or Pay PPA” All projects including those which have "Take and Pay PPA" are entitled for the amendment provided their Commercial Operation Date (COD) is before mid-July 2026 AD.

PPA IN DOLLAR Too Little Too Late

At a time when the government has announced an ambitious plan to generate 20,000 MW of electricity within a decade, there is the need of a huge foreign investment to fulfill the objective. To lure foreign investment, there is the need to sign the PPA in dollars.

Paradigm Shift

Nepal’s hydro is predominately RoR schemes and almost all pipeline hydropower projects are also RoR.

Foreign Investment Climate

All of a sudden Nepal has been bombarded by summits. In the past few months, different organizers have held several investment/infrastructure summits so hastily. The objective of those summits was to attract foreign investment in the country but the outcomes were not that satisfactory. However, ‘Investment Summit 2017’ organized by Investment Board, Nepal last week did draw world’s attention. Investors pledged a jaw-dropping FDI commitment of US $ 13.51 billion.

Govt plans to consider six months as dry season

Government plans to increase dry season period to six months from four months. This certainly is a good news for IPPs as the RoR projects will be entitled to get dry season rate (Rs. 8.40 per kWh) for six months (December to May). However, it comes with a clause which to me is useless and is not in the favor of project and the country as a whole.

Solar through my lens!

It might be considered as a sin to talk about solar energy in Nepal. The country, rich in hydro resources, is inclined to be blatantly loud and assertive in self-defense. It is not everyone's cup of tea due to its expensive LCOE (levelized cost of electricity). Name-calling is expected when you try to explore the solar opportunity in this country.