Urja Khabar
New Delhi: Nepal's private hydropower development group, Independent Power Producers' Association, Nepal (IPPAN), has urged Indian investors to invest in Nepal's energy sector. The group emphasized its commitment to forming strong, mutually beneficial partnerships during the India-Nepal Energy Summit held in New Delhi on Wednesday.
At that moment, Dr. Shankar Prasad Sharma, Ambassador of Nepal to India, emphasized that the Government of Nepal has prioritized the development of hydropower to enhance the Nepalese lifestyle, economic growth, and prosperity.
During the event, Chiranjivee Chataut, Joint Secretary at Nepal’s Ministry of Energy, Water Resources, and Irrigation, encouraged Indian investors to invest confidently in Nepal. He highlighted Nepal's investor-friendly policies, the operational 400 kV transmission line between Nepal and India, and two more lines under construction, ensuring sufficient infrastructure for electricity generation and trade. Chataut emphasized that Nepal’s hydropower policies are designed to protect investors, inviting major Indian investors to seize the opportunity.
Ganesh Karki, President of IPPAN, highlighted Nepal's ambitious plan to generate 28,500 MW of electricity by 2035. Achieving this goal will require an investment of $46.5 billion, making it a golden opportunity for foreign investors. He assured investors that the Nepal government guarantees both the security of investments and returns.
He emphasized that investment opportunities are available not just in power generation but also in consultancy services, machinery supply, and other related sectors. He noted that Nepal's private sector, which began producing electricity only in 2000, now contributes about 80% of the country's total installed capacity of 3,500 MW (around 2,800 MW).
Currently, Nepal and India exchange 1,000 MW of electricity, and a long-term agreement has been signed to increase this to 10,000 MW within the next decade. Karki added that Indian companies are already involved in projects producing 5,000 MW in Nepal, with several other projects awaiting Indian investment.
According to IPPAN, Nepal is eager to partner with major Indian business groups such as Adani Group, Tata Power, Jindal Power, GMR Group, SJVN Limited, and NHPC. Nepal's rich hydropower potential can be harnessed to meet the growing energy demands in the regional market as well.
During his presentation, IPPAN's Vice President (VP) Anand Chaudhary shared that Nepal currently produces 3,500 MW of electricity. He added that projects totaling 4,000 MW are under construction, while those with a capacity of 4,100 MW are awaiting financial arrangements after signing Power Purchase Agreements (PPA). Additionally, projects with a combined capacity of about 20,000 MW are in various stages of study, offering attractive investment opportunities for Indian investors.
Chaudhary also briefed Indian investors about three dozen large and appealing hydropower projects in Nepal, owned by both private and government sectors.
The summit, held under the theme "Exploring Investment Opportunities in Hydropower and Renewable Energy Sector," was organized by the Embassy of Nepal in India and the Indian Federation of Green Energy (IFGE), with institutional participation from IPPAN.
