Kathmandu, September 21

The state-owned Nepal Electricity Authority (NEA) has traded surplus power worth Rs 2.42 billion in the second month (mid-August to mid-September) of the current fiscal year 2022-23 at competitive rate in the Indian energy market.

As per the NEA, it sold 246.52 million units of surplus power in the Indian Energy Exchange (IEX) during the review month, and average rate of electricity sold at the competitive rate over the last month was Rs 9.80 per unit The authority has earned Rs 7.19 billion in four months by selling 780 million units of power.

NEA Executive Director Kulman Ghising said increase in quantum of electricity exported to India every month has contributed in replenishing the country's foreign exchange reserves and helped to reduce Nepal's trade deficit with the southern neighbour.

'We've set a target of earning about Rs 16 billion from electricity export in the current fiscal year. We estimate that the target will be met if we can trade power till the last week of November and again resume after May,' Ghising said.

He further stated that the NEA is planning to sell additional 200 MW power to India following decrease in domestic consumption during the festive season.

'With the major festival about to start, the domestic consumption will decrease a bit when the industrial factories close. But since our production will be at full capacity, we have sent a proposal seeking approval to export additional 200 MW of electricity,' he informed.

'We are confident that our Indian counterpart will soon agree to the proposal.'

NEA stated that altogether 39 MW, including 24 MW produced from Trishuli hydropower and 15 MW from Devighat powerhouse, had been traded on a daily basis in IEX since June 2. NEA then exported altogether up to 364 MW of additional electricity produced from six hydropower plants daily to Indian market through 400kV Dhalkebar-Muzaffarpur cross-border transmission line at a competitive rate since June 10.

According to the authority, power is being traded at a competitive rate set by the IEX - dividing 24 hours into 96 blocks of 15 minutes each. NEA had traded surplus power worth Rs 3.88 billion in the last fiscal year.

Meanwhile, NEA has offered to sell an additional 100.9 MW surplus power in the day-ahead market of IEX.

The authority has submitted a proposal to the Central Electricity Authority of India for the sale of the electricity produced by four hydropower plants at IEX. The source of the additional power supply would include 29.04 MW Likhukhola 'A', 25MW Kabeli B-1, 22 MW Maikhola, 14.9 MW Hewakhola A and 10 MW Lower Modi-1 hydro projects.

Earlier, NEA has offered to sell an additional 111 MW surplus power produced by four hydropower projects.

With this, the authority has submitted a proposal for the export of around 212 megawatts of electricity produced from eight hydropower projects.