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Nepal’s installed capacity of electricity reaches 3,878 MW

Nepal’s installed capacity of electricity has reached 3,878 megawatts (MW), marking a major milestone in the country’s energy sector.
By REPUBLICA

KATHMANDU, July 20: Nepal’s installed capacity of electricity has reached 3,878 megawatts (MW), marking a major milestone in the country’s energy sector.



Minister for Energy, Water Resources, and Irrigation, Deepak Khadka made the announcement during a recent press conference.


Addressing the event organized to mark the completion of his first year in office, the minister revealed that 631 MW of new electricity was added to the national grid in the past year alone, up from an average of 3,200 MW before his tenure.


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Minister Khadka emphasized that the increased capacity has enabled Nepal to export surplus power, with over 800 MW of electricity being sold daily to India and Bangladesh. He further disclosed that Nepal has secured approval to export 941 MW to India while also importing 1,000 MW under bilateral agreements. Additionally, the country has begun dollar-denominated electricity exports to Bangladesh, with 40 MW already being supplied, generating an estimated Rs 1.25 billion in revenue within five months.


The Energy Ministry had introduced the Energy Development Roadmap 2081, which sets an ambitious target of 28,500 MW of electricity production by 2035, requiring a $46.5 billion financial plan. Under this roadmap, Nepal aims to export 15,000 MW to India and Bangladesh while retaining 13,500 MW for domestic consumption.


The minister also highlighted progress in policy and infrastructure, including the installation of 397 kW of small hydropower projects, 603 kW of solar power systems, 3,584 biogas plants, and 4,142 household solar systems. In irrigation, the ministry expanded coverage to 17,308 hectares, bringing the total irrigated land to 1.586 million hectares.


On the financial front, Nepal has secured nearly $1 billion in foreign loans and grants for energy and irrigation projects. Minister Khadka also addressed ongoing disputes, stating that negotiations over dedicated and trunk line agreements are nearing resolution.


Legislative advancements were another key focus, with the Electricity Bill, Water Resources Bill, and Renewable Energy Bill submitted to Parliament, while the Water and Weather Policy has already been approved by the Cabinet. The press conference was attended by senior ministry officials, underscoring the government’s commitment to further strengthening the energy sector.

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