Reaffirm commitment to further strengthen power sector cooperation

Kathmandu, December 11

The power/energy secretaries of Nepal and India co-chaired the eighth meeting of joint steering committee (JSC) on cooperation in power sector that was held through video conferencing today.

The meeting reviewed progress made on bilateral processes and initiatives in this sector. Both sides discussed, inter alia development of suitable rules and guidelines for allowing access to Nepali power producers to Indian markets, development of energy banking mechanism, development of cross-border high-voltage transmission lines as well as reviewing the progress of the SJVN Ltd-developed 900MW Arun-III Hydro Electric Project in Nepal and agreeing to further facilitate its expeditious implementation.

Both sides reaffirmed their commitment to further strengthening the power sector cooperation between the two countries, including development of an integrated grid, building of more cross-border transmission lines, as required, as well as investing in Nepal’s hydro and solar power projects.

The positive and wide-ranging discussions today are expected to further support the expansion in power

sector cooperation between India and Nepal, as per a media release.

Energy Secretary Dinesh Kumar Ghimire was assisted by representatives of various ministries and departments of the government of Nepal, while his Indian counterpart, Power Secretary Sanjiv Nandan Sahai was accompanied by Ambassador of India to Nepal, Vinay Mohan Kwatra, and a 17-member delegation drawn from various ministries and public sector undertakings of the

Indian government, including NHPC Ltd, NTPC Ltd and the Indian Embassy in Kathmandu.

The JSC is the apex bilateral mechanism for enhancing and coordinating various government-to-government led initiatives in the power sector. Both governments have been coordinating closely with each other in this sector. Consequently, progress made in the last five years in this sector has been exemplary, the release adds.

This includes completion of South Asia’s first cross-border 400 KV Muzaffarpur-Dhalkebar transmission line, agreement on funding modality for Gorakhpur-Butwal 400 KV line for which the construction will commence soon, and the brisk progress on

the 900MW Arun-III Hydro Electric Project.

Both sides are also close to finalising the regulatory modality for allowing Nepali power producers access to Indian power market which will provide an outlet for Nepal’s surplus power in the coming months.

The joint working group meeting at the level of joint secretaries was held yesterday in preparation of today’s meeting.