Government’s 30,000 MW power goal at risk as PPA bottlenecks stall hydropower push
Summary
Nepal's government aims to produce 30,000 MW of electricity in the next decade but faces delays due to stalled power purchase agreements (PPAs), hindering hydropower projects and private sector participation.
Key Points
- The government targets 30,000 MW electricity production in the next decade, requiring revised laws and a one-window system to achieve it.
- Power purchase agreements (PPAs) are critical bottlenecks delaying hydropower project implementation and private sector involvement.
- The Nepal Electricity Authority and Ministry of Energy need to assess electricity demand and financial risks before procuring power via PPAs.
- A high-level committee was formed to review PPA policies and obstacles, but effective resolution of current issues is still pending.
