Urja Khabar
Kathmandu; In a historic milestone for Nepal's hydropower development, the 28.1 MW Upper Kabeli Hydropower Project—promoted by Non-Resident Nepalis (NRNs)—has achieved a major breakthrough developed by Peace Energy Company Limited. Under construction in the Taplejung district, this is the first large-scale project completely funded, led, and managed by the NRN community.
As per the company successful completion and breakthrough of its main tunnel. Out of the total 5.6-kilometer underground water conveyance system, the completion of the highly complex 4.8-kilometer main tunnel is being hailed as a major technical and managerial triumph.
This historic achievement edges the project significantly closer to commercial operation. The project has strictly adhered to its original timeline, said Dr. Madan Kumar Uprety, the Executive Chairman of the company.
According to the company, construction commenced on July 1, 2024 (Asar 17, 2081 BS). Work is currently progressing at an accelerated pace to begin commercial power generation within the targeted 30-month window, specifically by October 2026 (Kartik 2083 BS)—setting an exemplary benchmark for construction management in Nepal's hydropower sector.
Diasporic Investment
Upper Kabeli has successfully carved out a distinct and historic identity within Nepal's energy sector. It stands as a model project, featuring 100% financial management, direct operation, and supervision by Non-Resident Nepalis residing in the United States of America (USA).
The project serves as a prime testament to how the Nepali diaspora can channel not just remittances, but also international-standard capital, sophisticated technical expertise, and modern corporate governance toward the economic transformation of their motherland.
"This tunnel breakthrough is the outcome of the relentless hard work, high professionalism, and iron resolve of our entire team," stated Uprety. "This milestone sends a powerful message that projects led by Nepalis can be completed on time, meeting world-class standards of governance, transparency, safety, and quality."
It stands as robust proof that Nepalis living abroad are committed to bringing back not only capital but also the knowledge, advanced technology, and managerial skills they have acquired globally to build a prosperous future for Nepal.
Engineering Excellence
From the onset of construction, the project has anchored itself on engineering excellence, high worker safety, strict compliance with environmental standards, and transparent project management. Thanks to the implementation of modern construction management systems, the excavation of the tunnel—geographically remote and technically challenging—was completed on schedule without any disruptions.
Beyond commercial success, the project has also contributed substantially to local socio-economic transformation. It has fostered a harmonious relationship with the local community in Taplejung by generating extensive employment opportunities, prioritizing the procurement of local materials and services, developing rural infrastructure, and executing various community-centric Corporate Social Responsibility (CSR) programs.
Way Forward
With the completion of the primary tunnel excavation, the project’s focus now shifts toward final tunnel finishing (concreting and lining), the installation of hydromechanical and electromechanical equipment, transmission line construction, and testing-commissioning. Key electromechanical equipment has already arrived at the construction site, with the remaining components en route to Nepal.
Once commissioned, the project will feed approximately 170 Gigawatt-hours (GWh) of energy annually into the national grid, playing a vital role in meeting the country’s growing energy demand. It stands as a powerful paradigm of utilizing NRN capital, technology, and managerial acumen for nation-building.
Target: 1,000 MW within 7 Years
The success of Upper Kabeli will not remain confined to a single project. The NRN investor group associated with this venture has already mobilized resources and capital for another 86 MW project in the Myagdi district. Furthermore, the group has secured survey/development licenses for an additional 700 MW of hydropower projects, expediting their development process.
The long-term vision of this promoter group is to develop and manage over 1,000 MW of hydropower in Nepal within the next 7 years. This ambitious campaign is expected to not only fortify Nepal’s energy security but also attract billions of rupees in domestic and foreign investment.
Energetic Leadership
Dr. Madan Kumar Uprety, who has been based in the United States for over 26 years, is a prestigious physician, successful entrepreneur, and infrastructure investor within the NRN community. Despite living abroad, Dr. Uprety maintains a deep commitment to the prosperity of his motherland. He currently serves as the Executive Chairman of Peace Energy Company Limited and the Chairman of the Infra Nepal Development Fund. His mission to return his knowledge and capital to his homeland—while uniting the global Nepali diaspora under a shared responsibility for nation-building—serves as a major inspiration for the energy sector.
Key Highlights
- Project Capacity: 28.1 MW
- Location: Taplejung District
- Promoter/Developer: Peace Energy Company Limited
- Main Tunnel: 4.8 km (Total Water Conveyance System: Approx. 5.6 km)
- Estimated Annual Energy: Approx. 170 GWh
- Investment Model: 100% funded and managed by Non-Resident Nepalis based in the USA
- Vision: To produce over 1,000 MW of electricity within 7 years
