Nepal Electricity Commission Issues Directive for Hydropower Purchase Agreements with Reservoir Projects
Summary
The Electricity Regulation Commission has issued a directive to regulate electricity purchase from reservoir hydropower projects, aiming to enhance Nepal's energy security and encourage private sector investment.
Key Points
- The Electricity Regulation Commission issued a directive to systematize electricity purchase from reservoir-based hydropower projects.
- The directive sets criteria for reservoir projects including water storage for at least 15 days and generating 35% of annual energy during the dry season.
- Maximum electricity purchase rates are fixed at NPR 14.80 per unit in winter and NPR 8.45 per unit during the monsoon for projects up to 100 MW.
- Private sector leaders welcome the directive but emphasize the need for government facilitation in opening PPAs and managing challenges like land acquisition.
