Boosting Bilateral Power: NEA Records NPR 11.08 Billion Electricity Export to India, Eyes Further Growth


The Nepal Electricity Authority has exported electricity worth NPR 11,80,28,00,000 rupees to India from May to July. The electricity generated within the country was saved and started selling in the Indian market from 21 June of the previous year.

The authority has exported electricity worth NPR 9,64,54,00,000 to India in the months of July, Aug, and Sep of the fiscal year 2023/24. In the month of Sep alone, electricity worth NPR 4,02,35,00,000 has been exported.

The average rate of electricity exported to India in three months is 10 rupees 27 paisa per unit. 405 million in five days of last May and 1,75,70,00,000  in June Electricity worth Rs. was exported to India. The average rate of electricity exported to India in May and June was 9 rupees 67 paisa per unit.

In July, electricity worth 2,14,33,00,000 rupees was exported. In Aug, electricity worth 3,47,85,00,000 rupees was exported, and in Sep, electricity worth 4,02,35,00,000 rupees was exported to the Indian market. In total, during these three months, electricity worth 9,64,54,00,000 rupees was exported.

In the months of July, August and October , the average selling price of electricity exported to India is as follows: 8 rupees 43 paisa, 11 rupees 97 paisa, and 10 rupees 20 paisa per unit, respectively. The overall average selling price for electricity over the three months is 10 rupees 27 paisa per unit. Exporting electricity is helping reduce the trade deficit between Nepal and India and contributing to the country’s foreign currency reserves.

The authority has been exporting electricity generated within the country to India, resulting in savings over the annual period. The authority has sold approximately 110 megawatts of electricity to the Indian company, NTPC Vidyut Vyapar Nigam Ltd. (NVVN), under a medium-term electricity trade agreement, including the Day-Ahead Market (DAM) of the Indian Power Exchange. NVVN has been selling this electricity in the Haryana state of India.

522 approved for export to competitive market by Central Electricity Authority of India
Out of the megawatts, about 44 megawatts of electricity has been allowed to be sold in the real time market in the first phase. 522 MW in competitive market by Nepal Electricity Authority and NVVN Approval has been received for the export of 632 megawatts of 110 megawatts. Out of this, 562 MW electricity is being exported from Dhalkebar-Muzaffarpur 400 KV international transmission line and 70 MW from Mahendranagar-Tanakpur 132 KV transmission line.

The managing Director Kulman Ghising mentioned that looking at the current situation, it is possible to have around NPR 16 billion worth of electricity exports this year. “We had proposed for an additional approval of approximately 100 megawatts of electricity export to the Central Electricity Authority of India, but as of now, we haven’t received the approval. If we don’t get the approval soon, with the Dashain festival beginning, factories closing down, the onset of the winter season in Kathmandu, and the warming up of the Terai region, there will be a decrease in domestic electricity demand. In such a situation, if we don’t get further approval for electricity export from India, there may be a scenario where power plants need to be shut down. We are confident that we will obtain approval for additional electricity exports quickly.”