Pancheswor project to top water talks with India

KATHMANDU: The meeting of Joint Committee on Water Resource between Nepal and India that was to take place in the first week of November will now take place on November 20-21 in Pokhara.



The two sides will dwell on Pancheshwor multi-purpose project, power trade between the two countries, irrigation, flood control and other water-related issues.







Pancheshwor multi-purpose project







Sources at Ministry of Energy told The Himalayan Times that the JCWR meeting would discuss about establishing a Pancheshwor project development authority for the development, execution and operation of multi-purpose project. Both countries have already agreed in principle about establishing such an authority.



During Prime Minister Madhav Kumar Nepal’s India visit, both the countries had agreed to expedite the implementation of the project.



According to a joint press statement issued then, both PMs directed the Joint Ministerial Commission on Water Resources and JCWR to expedite the finalisation of Terms of Reference for Pancheshwor Development Authority and detailed project report. However, there has been disagreement over the leadership of the authority as both the countries are eying the post.



After the JCWR meeting, the meeting of joint ministerial commission will take place.



Minister for Energy Dr Prakash Saran Mahat said, “As we have been facing long power cuts, work to complete giant projects such as Pancheshwor should be expedited.”



He added that political power play should not hinder the Pancheshwor project as had been the case in the past. Mahat added that there should not be more delay to implement the project, as both the countries would benefited immensely from it. He said arranging investment for the project should not prove to be a big task. According to Mahat, India is ready to share over 70 per cent of the project cost. Prime Minister Madhav Kumar Nepal has also been saying that he wants to push the project during his tenure.



However, Unified CPN-Maoist has stated that the project should move ahead only after the constitution-drafting process is complete. Pancheshwor project is a key component of Integrated Mahakali Treaty, which was signed in 1996. But on concerted effort has been made to implement this project.







Nepal-India power trade







Long term power trade between Nepal and India is the fresh agenda of JCWR and the authorities of both the countries will delve deep into it. Energy minister Mahat said the two sides would discuss the power trade between the two countries in the meeting. He said, “In principle, we’ll discuss about the power trade. However, we need to do profound groundwork before we meet the other side.”



Authorities at Ministry of Energy said they were busy preparing documents on power trade between the two countries. Nepal is giving priority to the power trade agreement because it wants to export the power to India mainly from those projects which have foreign investment. After the agreement, private sector can also export power to India.



In 1997, Nepal and India had agreed in principle about the power trade and both the countries had prepared a draft on power trade. However, the issue has been pending. It is believed that after signing a power trade pact with India it will be easier to attract private investors in the hydropower sector.




Talks table menu




• Constructing 1.2 km canal in the Indian territory to connect with Mahakali-III canal system in Nepal.



• Nepali side will request India to increase Indian public and private sector involvement to harness Nepal’s hydropower potential. Both sides will begin discussions to expedite progress on the Sapta Koshi High Dam and Sunkoshi Diversion Project and the Naumure Project.



• The construction of Dhalkebar-Muzaffarpur 400 KV cross border transmission line, for which the modalities are to be developed.



• Improving the capacity of transmission lines.



• Importing additional 90 MW



electricity from India at market price.



• Inundation problems due to Laxmanpur barrage, Kalkalwa bund and Rasiawal Khurd-Lotan bund.




Mahakali Treaty on Pancheshwor project




• The project shall be designed to benefit both the parties in terms of power, irrigation and flood control.



• The project shall be implemented with power stations of equal capacity on either side of the Mahakali River. The two power stations shall be operated in an integrated manner and the total energy generated shall be shared equally between the parties.



• The cost of the project shall be borne by the parties in proportion to the benefits accruing them. Both the parties shall jointly endeavour to mobilise the finance required for the implementation of the project.



• A portion of Nepal’s share of energy shall be sold to India. The quantum of such energy and its price shall be mutually agreed upon between the parties.