Kathmandu, May 19:

Nepal Chamber and Commerce (NCC) organised an interaction on ‘Hydropower in Nepal: Opportunity and Challenges’ in the capital yesterday.

Surendra Bir Malakar, president of NCC, on the occasion, announced the set up of ‘core group’ for the development of hydropower in Nepal. The group aims at encouraging private sector to invest in the small and middle scale hydropower projects.

Academician Deepak Gyawali, chief of Nepal Hydro Electricity and Khudi Hydropower Gyanendra Lal Pradhan, acting managing director of Nepal Electricity Authority Uttar Kumar Shrestha, Kalyan Dev Bhattarai of Swait Bhairav, Anjan Shakya of NCC, Sanjeev Sainju of Kumari bank, Dambar Regmi of Small and Cottage Industry Federation are the members of the core group. Malakar on the occasion said that the group would prepare a report on necessary actions needed for the development of hydropower in Nepal and submit it to the concerned authority. “If the current situation continues, by 2015 there will be more problems,” said Malakar adding that the government should encourage private sector to invest in the hydropower and bring the policy accordingly. “Local money, labour and technology should be promoted and small scale power plants should be prioritised,” he added. “Private sector should be encouraged to generate at least 50 MW of electricity every year to meet the increasing demand, he said adding that the government should bring short-term, medium-term and long-term programmes and implement them effectively.

“The traditional infrastructure should be improved, and cheap and technology-friendly projects should be chosen to encounter the increasing electricity demand,” Deepak Gyawali said.