India Grants Approval for Nepal to Export Additional 180 MW of Hydropower

India has given its approval for an additional 180 megawatts of electricity generated by four hydropower projects in Nepal to be sold in the Indian market, according to an official from the Nepal Electricity Authority (NEA). Currently, Nepal has the authorization to export up to 452.6MW of power produced by its ten hydropower projects to India.

Prabal Adhikari, the Power Trade Director at the NEA, stated, “The designated authority of India has given the green light to purchase power generated from the 83.42MW Solu Khola (Dudh Koshi), 26.19MW Dordi Khola, 40 MW Upper Chameliya Hydropower Project, and 38.4 MW Upper Kalanga Gadh Hydroelectric Project for the Indian market.”

Adhikari explained that electricity generated by the Solu Khola (Dudhkoshi) and Dordi Khola projects would be sold under a five-year power sale agreement with India’s NTPC Vidyut Vyapar Nigam Limited (NVVN) and transmitted to India via the Dhalkebar-Muzaffarpur Cross-Border Transmission Line.

This development follows a five-year agreement signed on May 23 between NEA and NVVN, marking their first-ever long-term power trade deal. The agreement allowed for the export of 200MW to India, with NEA proposing five projects for power sales, including Solu Khola (Dudhkoshi), Super Madi, Upper Balephi ‘A’, Dordi Khola, and Upper Chaku ‘A’.

On the other hand, power generated by the Upper Chameliya Hydropower Project and Upper Kalanga Gadh Hydroelectric Project will be sold in India’s day-ahead market. The combined 70MW from these projects will be transmitted to India via the 132 kV Mahendranagar-Tanakpur transmission line.

Nepal had been awaiting India’s approval for an extended period to sell surplus power to the Indian market during the wet season when Nepal’s hydropower projects operate at full capacity. This approval is expected to alleviate the issue of power spillages that Nepal often faces during the monsoon season. It’s worth noting that all hydropower projects in Nepal, except Kulekhani, follow the run-of-the-river model.

Prabal Adhikari expressed optimism, saying, “Following the approval, we anticipate that the surplus power generated will be available for sale starting Wednesday.”