Solar energy in Nepal is abundant and cheap. There is more than enough solar energy for every Nepali to enjoy the same energy consumption as in the developed countries
KATHMANDU, JANUARY 16
Solar energy will be a leading renewable source for electricity generation in the future. Electricity generated through a solar power plant is clean, environment-friendly and reliable. Rooftop solar energy, which offers a one-time investment, is also cheaper than grid electricity or thermal power.
Financial feasibility is the ability of a project to achieve sufficient income, credit and cash flow to financially sustain the project over the long term and meet all debt obligations. Nepal is endowed with good renewable energy potential. The major sources of renewable energy are mini and micro hydropower, solar energy, various forms of biomass energy, biogas and wind energy. Despite the huge renewable energy potential, still around 85 per cent of all energy consumption in Nepal is met through traditional biomass energy, while around 28 per cent of households in Nepal still do not have access to electricity.
It is not possible to significantly improve the living standard of the low income population living in the rural areas if their renewable energy demand is not met. Extension of the national grid to those areas will not be possible for many years to come due to the difficult terrain, high cost and existing energy crisis in the country. Therefore, clean and sustainable energy, such as Renewable Energy Technologies (RETs), needs to be developed as immediate and long-term solutions. However, the economic hardships of the people living in the rural areas and the high initial cost of the RETs justifies the need of subsidy and concessional credit facilities to increase access to cleaner energy.
The government has been promoting RETs for the past two decades with support from the development partners, private sector and non-governmental organisations. These initiatives have resulted in significant fruitful achievements in the development of renewable energy in the country. In order to widely develop the RET sector, encourage the very poor households to use RETs, revise the subsidy amount and credit, and encourage private sector and financial institutions to invest in the sector while focusing on providing service delivery of utmost quality in the rural areas, the existing policy was not adequate, and hence, the need to revise and formulate a new policy was realised. The new policy mainly focuses on gradually replacing subsidy by credit in the long-term to achieve the UN's Sustainable Development Goals of Sustainable Energy for All.
The government has a target to achieve per capita electricity consumption of 1,500 kWh by 2026/27, double that of 2021-22, hoping to make it to the list of middle-income countries by 2030. Nepal needs to increase its electricity consumption to deliver a high economic growth rate of 8.5 per cent. Due to the insufficient supply of electricity and low income, most households that even have access to electricity often consume it for lighting purposes only.
Despite a rise in power output in recent years, Nepal's power sector is unable to meet the demand, especially in winter, resulting in long power cuts. Integration of RETs at the household level, for example, through the installation of a rooftop solar photovoltaic (SPV) system, can allow the homeowners to meet their energy needs independently.
This can also help in the management of energy flows in the national grid while helping to reduce carbon dioxide (CO2) emissions. However, financial support, more than the subsidy, should be provided for pilot projects as per the understanding between the government and development partners.
As a renewable source of power, solar energy has an important role in reducing greenhouse gas emissions and mitigating climate change, which is critical to protecting humans, wildlife and ecosystems. The average global solar radiation in Nepal varies from 3.6-6.2 kWh per metre square a day. Sun shines for about 300 days a year, and the number of sunshine hours amounts to almost 2,100 hours per year with an average of 6.8 hours of sunshine each day.
Solar energy in Nepal is abundant and cheap. There is more than enough solar energy for every Nepali to enjoy the same energy consumption as in the developed countries, and without burning any fossil fuels or damming any Himalayan rivers. The solar potential in Nepal is 50,000 terawatt-hours per year, which is 100 times larger than Nepal's hydro resource and 7,000 times larger than Nepal's current electricity consumption. Thus, solar energy can easily meet all future energy needs of Nepal and is also cheaper than fossil fuels, nuclear and hydro.
In the future, the Nepali people can expect to achieve a much higher living standard. When Nepal catches up with the developed countries, each person will consume about 15 megawatt-hours per person per year of electricity, which is 70 times larger than today. Clean solar electricity will be used to light and heat homes, cook food, power electric vehicles and drive industry, just like in the developed countries. Over the next 50 years, Nepal will need to install 200 watts of solar panels per person each year (about one square metre of panel per person per year).
The area of solar panel required to match the energy consumption per person in the developed countries is 40-50 square metres per person with a nominal power capacity of about 10 kilowatts.
Much of the solar panel area can be located on rooftops. Some can be on the ground. Some can be floated on lakes and hydroelectric reservoirs. Some solar systems can be located in food growing areas (agrivoltaics) where widely spaced solar panels shade 10 per cent of the crop but cause little loss of production because they reduce wind speeds and evaporation rates. Therefore, all parts of Nepal are favourable for solar energy. It can contribute to the living standard of individual household and save electricity consumption for firms and industries for the country's economic growth and development.
Solar energy in Nepal is abundant and cheap. There is more than enough solar energy for every Nepali to enjoy the same energy consumption as in the developed countries
A version of this article appears in the print on January 16, 2023, of The Himalayan Times.
