India’s tender shift toward China could light up Nepal’s hydropower future
Summary
India is preparing to lift restrictions on Chinese companies bidding for government tenders, which could benefit Nepal's hydropower sector by enabling Chinese investment and electricity exports to India.
Key Points
- India is preparing to lift restrictions on Chinese companies participating in government tenders following easing border tensions.
- Following previous restrictions, Indian policies barred electricity imports from Nepalese hydropower projects with Chinese investment.
- Nepal currently exports surplus monsoon electricity to India and imports during the dry season, reliant on India as the main electricity market.
- Improving India-China relations could enable Nepal to benefit from Chinese investment in hydropower and opportunities for electricity exports to India.
