IPPAN not happy over govt’s new rules on hydropower sector

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KATHMANDU, Oct 24: The Independent Power Producers’ Association Nepal (IPPAN) has expressed its dissatisfaction over the government’s restriction on the private sector to conduct survey licenses, production licenses and power purchase agreement for hydropower projects, among others.

Organizing a press conference in Kathmandu on Sunday, IPPAN demanded the government authority to review the decision made at the level of Chief Secretary on September 23. The umbrella organisation has also blamed the government body for taking the move unilaterally without consulting the stakeholders.

IPPAN also expressed its serious concern over the directive on the non-life insurance fee recently endorsed by the Insurance Board. According to IPPAN, these provisions could discourage potential investors in the hydropower sector.

Krishna Prasad Acharya, president of IPPAN, said the government should distribute electric stoves at concessional rates to increase electricity consumption, increase the use of electric vehicles and provide cheap electricity to industries. He demanded the authorities concerned to adopt a flexible policy for the private sector in power trading while implementing an open electricity trade policy.

IPPAN has urged the government to formulate a cross-border electricity trade policy, to expand quality transmission lines to sell and distribute electricity to neighboring countries and to formulate proper policy on transmission billing fees. Safeguarding the investment of the private sector on hydropower was also among the demands of IPPAN.