Investment has been secured for the 24.8-megawatt capacity Bajra Madi Hydropower Project, which is being developed on the Madi River in Kaski district. The project, to be constructed by the promoter company Bajra Energy Ventures Pvt. Ltd., will be financed by NMB Bank and Agricultural Development Bank.
The total estimated cost of the project is NPR 5.35 billion. Out of the required NPR 3.745 billion in project loans, NPR 2.5 billion will be managed by the lead bank, NMB Bank Ltd., and NPR 1.245 billion by Agricultural Development Bank Ltd. Of the remaining NPR 1.605 billion, 70% will be raised through promoter equity and 30% through an IPO. If the project capacity is increased to 31 megawatts, the estimated total cost will rise to NPR 6.35 billion.
Previously, businessman Jagat Bahadur Pokharel, who successfully completed the 25-megawatt Seti River Hydropower Project on the Seti River in Machhapuchhre, Kaski, and has achieved success in various other businesses, is leading this project. Under his leadership, several successful individuals from various business and social sectors are involved as founding investors in this project.
Initially licensed for a capacity of 24.8 megawatts, this project has now completed technical studies to upgrade to 31 megawatts and has already applied to the Department of Electricity Development for license upgrading, which the company states is in its final approval stage. Located just 20 kilometers from the tourist city of Pokhara, the Bajra Madi Hydropower Project has good road access from the headworks to the powerhouse. Once completed, it will generate 147.123 gigawatt-hours of electricity annually. If the capacity is upgraded to 31 megawatts, the annual energy production will increase to 183.11 gigawatt-hours.
According to the currently approved license for a 24.8-megawatt capacity, this project has a catchment area of 393.65 square kilometers and a design discharge of 24.55 cusecs. A 43-meter-long dam will be constructed on the Madi River near Hariyoshwara in Ward No. 4 of Madi Rural Municipality to divert water. The diverted water will pass through a 100-meter-long desander and then be channeled into an inverted D-shaped tunnel, lined with 3.6×3.6 meter concrete lining and 4.2×4.2 meter shotcrete lining. The water will travel through a 4,593-meter-long tunnel and a 324-meter-long penstock pipe, with a gross head of 125.5 meters, to reach the powerhouse, which will house two vertical Francis turbines. The electricity generated will be transmitted to Nepal Electricity Authority’s national grid via a 7.2-kilometer-long, 132 kV single-circuit transmission line from the project’s switchyard to the Lekhnath substation. If the project’s capacity is upgraded to 31 megawatts, the tunnel length will increase to 5.35 kilometers and the gross head will rise to 156 meters.
On February 11, 2024, a Power Purchase Agreement (PPA) was signed between the Nepal Electricity Authority and the company. The Environmental Impact Assessment (EIA) for the project has been approved, and the generation license has also been obtained. The Bajra Madi Hydropower Project is scheduled to begin commercial production on October 26, 2028, with a construction period set at 42 months. Clean Energy Consultant (CEC) has been appointed as the project’s technical consultant.
Source: Businesspana
