Himalayan News Service

Kathmandu, January 17

The government of Norway has agreed to provide a grant assistance of about Rs 109 million (equivalent to Norwegian Kroner 10 million) to conduct feasibility studies of up to 10 small

and medium-sized hydropower projects.

To this effect, Dr Madhav Prasad Ghimire, joint secretary at the ministry of finance and Ingrid R Ofstad, Norwegian ambassador to Nepal, signed and exchanged papers an agreement yesterday, on behalf of the respective governments of Nepal and Norway. According to a press release issued by the ministry of finance, the main objective of the assistance is to encourage investors to invest in small and medium-size hydropower projects.

The grant assistance will be utilised to conduct feasibility studies and environmental impact assessments (EIA) for 10 small and medium-size hydropower projects of 5-10 Megawatt capacity.

Priority shall be given to studies in the conflict affected areas in the western and mid-western development regions of Nepal, states the release. The government of Nepal has expressed its sincere appreciation and thanks to Norway for its continued cooperation and support in the socio-economic development of Nepal.