KATHMANDU, July: The Rastriya Prasaran Grid Company Limited (RPGCL) on Tuesday signed a grid connection agreement with five hydropower promoters, paving the way for the addition of 607 megawatts of electricity to the national transmission system.
The agreement, signed by RPGCL CEO Engineer Sagar Shrestha and representatives of the hydropower developers, includes five major projects: the 440 MW Tila-91 in Kalikot, 72 MW Malumela Seti River Peaking and 54 MW Mahakali Seti Semi-reservoir projects in Bajhang, 31.92 MW Upper Mewa Khola ‘A’ in Taplejung and 9.143 MW Super Daraudi in Gorkha.
Under the agreement, RPGCL will construct transmission lines and substations to connect the electricity from these projects to the national grid. Specifically, the Tila project will be linked to the Fukot Substation in Kalikot via a 400 kV double-circuit Karnali Corridor line. The Malumela and Mahakali Seti projects will connect to the Chainpur Substation in Bajhang through the 400 kV West Seti Corridor. The Upper Mewa Khola ‘A’ will connect via the 132 kV Mewa–Dhungesanghu line, and Super Daraudi via a 132 kV line to Kerabari Substation.
Addressing the ceremony, Energy Minister Deepak Khadka acknowledged that Nepal has yet to make a breakthrough in the energy sector. He emphasized the urgent need to accelerate collaboration between the government and private sector.
Energy is not just about lighting homes but driving the nation’s socio-economic development,” said Khadka. He added that Nepal has fallen behind due to delays in project implementation, and now swift progress is only possible through public-private partnerships.
Reflecting on past setbacks like the delay of Arun III, Khadka said that had such projects moved forward decades ago, issues like load-shedding and investment shortages might have been avoided. “Today marks a significant milestone—a ‘track opening’ moment. The road is dug, and now it’s time to pave and speed ahead,” he said, noting this is the second major agreement with private players following the Tamor project.
Energy Secretary Suresh Acharya echoed the sentiment, saying collaboration with the private sector would unlock new opportunities in hydropower development.
Electricity Regulatory Commission Chair Dr Ram Prasad Dhital pointed out that while electricity generation has progressed, transmission and distribution still remain under a natural monopoly. The commission is working on enabling regulations to bring the private sector into transmission infrastructure.
RPGCL CEO Shrestha shared that the company is currently advancing construction on 11 high-voltage transmission lines, with two lines expected to be operational within this year. The government aims to produce, transmit, consume, and export 28,500 MW of electricity by 2035, requiring 16,000 circuit kilometers of transmission lines and 40,000 MVA capacity substations.
Speaking on behalf of the developers, Iman Singh Gurung, head of SC Power Company, defended the private sector against past criticism. “Though once ridiculed as brokers carrying rivers in their pockets, it is the private sector that has propelled Nepal’s hydropower growth,” he said. Gurung added that private energy entrepreneurs have made invaluable contributions to tax revenue, employment generation, and overall economic development.
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