KATHMANDU, APRIL 13
The 53rd board meeting of the Investment Board Nepal (IBN) led by the Prime Minister Pushpa Kamal Dahal 'Prachanda' held today at the Office of the Investment Board premises has approved investment worth Rs 167.57 billion for five hydroelectric projects, including Rs 146.2 billion in foreign direct investment (FDI) and Rs 21.37 billion in domestic investment.
Along with providing approval for investment worth Rs 92.68 proposed by the developer of the 669 MW Lower Arun Hydroelectric Project, the board has decided to form a Project Development Agreement (PDA) negotiation committee led by the chief executive officer (CEO) of the IBN and instructed to submit the document of consensus to the board.
Likewise, other hydroelectric projects that received IBN's approval comprise 102 MW Upper Marsyangdi-1 (Rs 33.19 billion); 70 MW Dudhkoshi-2 Jaleshwor (Rs 20.35 billion); 70.3 MW Simbuwa Khola (Rs 13.44 billion) and 43 MW Upper Madi-0 (Rs 7.93 billion).
Among the aforesaid projects, FDI worth Rs 146.2 billion for three hydroelectric projects - Lower Arun, Dudhkoshi-2 (Jaleshwor) and Upper Marsyandi HEP with total rated capacity of 841 MW shall be in the purview of the IBN.
The board has approved the memoranda of understanding (MoUs) to be signed with DIAG Industries GmbH Germany to establish a chemical fertiliser plant and Dabur Nepal for capital increment to execute production capacity enhancement project in Nepal.
Similarly, the IBN granted permission to Malaysia-based re- NIKOLA Holdings Sdn Bhd for conducting study on establishing Green Calcium Ammonium Nitrate (CAN) fertiliser plant in Nepal.
Moreover, the board has noted the initial study report of West Seti HEP submitted by NHPC Ltd, the government of India enterprise, and instructed to prepare the detailed project report (DPR) as prescribed in the MoU that was signed as per the decision of the government of Nepal last year.
In addition, the progress of Tamor Storage Hydroelectric Project, Logistics Projects and Vehicle Manufacturing Assembly Plant were presented to the IBN.
Further, the board endorsed the concept note of the Nepal Investment Summit (NIS) and authorised the OIBN to initiate necessary preparation for successful convening of the summit.
During the meeting, the prime minister instructed the concerned stakeholders to carry out effective coordination and collaboration to deliver results. Citing a few barriers that are responsible for cost and time overruns in projects such as land acquisition and local benefit sharing among others; the prime minister urged for continued coordination and collaboration among concerned ministries and agencies for the timely completion of projects.
In the meeting, IBN CEO Sushil Bhatta delivered the comprehensive presentation covering wide range of issues concerned with project facilitation, progress on the decisions made by the previous board meeting. Bhatta said that the OIBN is highly determined to deliver results in project development and facilitation as instructed by the board.
Minister of finance and vice-chairperson of the IBN; minister of energy, water resources and irrigation, minister of industry, commerce and supplies; minister of agriculture and livestock development; minister of land management, cooperatives and poverty alleviation; vice-chairperson of the National Planning Commission; chief secretary of the government of Nepal; governor of Nepal Rastra Bank and expert members of the board and other high-ranking government officials were present in the meeting.
A version of this article appears in the print on April 14, 2023, of The Himalayan Times.
