Nepal | September 26, 2020

Far-west locals propose developing West Seti hydro project in UTHEP model

Himalayan News Service
Share Now:

Kathmandu, January 27

Wary of the delays in developing the West Seti Hydropower project located in the central part of Province 7 by the Chinese company — China Three Georges International (CTGI) — locals from the far-western region have urged the government to take forward the project in Upper Tamakoshi model.

Upper Tamakoshi is the largest capacity project under construction that is being developed utilising domestic resources.

The Chinese company had signed the memorandum of understanding to develop the West Seti Hydropower Project in February, 2012. However, it has been consuming more time to move ahead, which has pushed the fate of the project into uncertainty.

Organising a programme jointly with the Independent Power Producers’ Association Nepal (IPPAN) — the umbrella association of hydropower developers of the country — members of Far-west Development Stakeholders Forum expressed concerns of the snail-paced progress.

While Nepal Electricity Authority (NEA) and CTGI signed a joint venture agreement to take forward the project a few months back, a joint venture company is yet to be registered. NEA is a 25 per cent equity partner of the project. However, CTGI has raised few issues to move ahead.

According to Khadga Bahadur Bisht, former president of IPPAN and one of the members of the Far-west Development Stakeholders Forum, the Chinese company has put forth some conditions like if the NEA
fails to procure 25 per cent equity investment, the contract will be terminated.

The CTGI has sought bulk investment from NEA. However, NEA has said that it will inject the committed equity investment in intervals during the project construction period.

Likewise, CTGI has sought the best rate in power purchase agreement (PPA). However, it has not committed to develop the project as reservoir project, even though it could be cost-effective, according to experts.

“It might cost $2,000 per kilowatt to develop run-of-the-river projects, but the West Seti can be developed as storage project at that cost.”

Likewise, the CTGI has put a condition to capitalise its investment during the study period. The company has carried out the feasibility study of the project and proposed to bring down the capacity to 550 megawatts.

However, locals have suggested the government to chip in 25 per cent equity investment from NEA and rest from loans and also ensure 10 to 15 per cent share to the locals. Locals from the far-west have said that they have exploited negligible — 8.5-megawatt Nau Gadh Hydropower and 30-megawatt Chameliya HEP — till date despite having potential of 18,149 megawatts of electricity in Province 7.

Potential of hydro electricity generation

Province 1           12,953 MW

Province 2           200 MW

Province 3           12,636 MW

Province 4           10,228 MW

Province 5           14,030 MW

Province 6           11,803 MW

Province 7           18,149 MW

Source: IPPAN

A version of this article appears in print on January 28, 2018 of The Himalayan Times.

Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Perfection of Wisdom: Sacred texts of 'Pragya Paramita' inscribed in gold

KATHMANDU, SEPTEMBER 25 The holy book of 'Pragya Paramita' (Perfection of Wisdom) being inscribed in golden letters by guthi members for its preservation at the Golden Temple in Lalitpur on September 24, 2020. Thursday. The holy book contains transcriptions of Buddhist scriptures and is rewritten Read More...

Europe, UEFA

De Bruyne, Lewandowski, Neuer on UEFA player of the year shortlist

Kevin De Bruyne, Robert Lewandowski and Manuel Neuer have been short-listed for the UEFA men's Player of the Year award, European football's governing body said on Wednesday. Lewandowski guided Bayern Munich to their sixth Champions League title, finishing as the competition's top scorer with Read More...

COVID-19 pushes more children into poverty

KATHMANDU, SEPTEMBER 24 The number of children living in multi-dimensional poverty has soared to approximately 1.2 billion due to the impact of the COVID-19 pandemic, according to a new analysis published by UNICEF and Save the Children today. This is a 15 per cent increase in the number of ch Read More...

One buried to death, five missing in landslides

BHAIRAHAWA, SEPTEMBER 24 One person died and five others went missing in landslides at different places in Palpa this morning. In Surangdanda, ward 2 of Rambha Rural Municipality, Motisara Gaha, 27, died when a landslide buried his home. Similarly, in Phoksingkot of the same ward, five persons Read More...

In-person classes start in Sudurpaschim

DHANGADI, SEPTEMBER 24 Schools, which had remained shut for long due to the coronavirus pandemic, have started in-person classes in different districts of Sudurpaschim Province. The schools were closed for the last six months after the government imposed nationwide lockdown to stop the virus s Read More...

Students of public schools deprived of education

KATHMANDU, SEPTEMBER 24 Hundreds of students, mostly from public schools, across the country continue to be deprived of education due to lack of their access to electronic mediums like the internet, television and radio. The Ministry of Education has been encouraging educational institutions t Read More...

SAARC Council of Ministers holds virtual meeting

KATHMANDU, SEPTEMBER 24 Minister of Foreign Affairs Pradeep Kumar Gyawali urged member states of South Asian Association for Regional Cooperation to explore all viable options to hold the 19th SAARC Summit. Delivering his opening remarks at an informal meeting of the SAARC Council of Ministers Read More...