KATHMANDU, AUGUST 21
The state-owned Nepal Electricity Authority (NEA) has traded surplus power worth Rs 1.84 billion in the first month (mid-July to mid-August) of the current fiscal year 2022-23 at competitive rate in the Indian energy market.
As per the NEA, it sold 242.69 million units of surplus power in the Indian Energy Exchange (IEX) during the review month. The average daily income by selling the surplus electricity amounted to Rs 59.3 million.
NEA Executive Director Kulman Ghising said that trade of surplus electricity to the Indian market, which started last year, has moved forward more smoothly this year.
"Due to increase in quantum of electricity exported to India during the rainy season, the financial condition of the authority has improved," Ghising said, adding, "Moreover, it has helped to give some relief in the current situation of pressure on foreign exchange reserves and helped to reduce Nepal's trade deficit with India."
He emphasised the need to accelerate electricity consumption among households and industries to minimise wastage of generated electricity.
"To increase the electricity consumption locally, the state needs to increase investment in the infrastructure of transmission and distribution systems, as well as provide special facilities to industrialists."
NEA stated that altogether 39 MW, including 24 MW produced from Trishuli hydropower and 15 MW from Devighat powerhouse, had been traded on a daily basis in IEX since June 2.
NEA then exported altogether up to 364 MW of additional electricity produced from six hydropower plants daily to Indian market through 400kV Dhalkebar-Muzaffarpur cross-border transmission line at a competitive rate since June 10.
According to the authority, power is being traded at a competitive rate set by the IEX - dividing 24 hours into 96 blocks of 15 minutes each.
NEA had traded surplus power worth Rs 3.88 billion in the last fiscal year.
A total of 735 MW has been connected to the national grid from authority's solar plant, and Upper Tamakoshi and private sector hydropower and solar projects.
Meanwhile, NEA has offered to sell an additional 111 MW surplus power in the day-ahead market of IFX.
The authority has submitted a proposal to the Central Electricity Authority of India for the sale of the electricity produced by four hydropower plants at IFX. The source of the additional power supply would include 42 MW Mistrikhola, 24.2 MW Likhukhola 'A', 23.5 MW Solukhola, and 22.1 MW Chilime hydro projects.
Ghising said that he is optimistic of obtaining permission from the Indian government to export additional surplus power.
A version of this article appears in the print on August 22, 2022 of The Himalayan Times.
