NEA Eliminates 15 Power Promoters for Failing PPA Deal Commitments

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KATHMANDU, Jan 6: The Nepal Electricity Authority (NEA) has removed 15 different projects for failing to enter into a Power Purchase Agreement (PPA) from its roster.

The NEA stated that the PPA process cannot proceed as the applications were not received within the specified period, and the necessary documents were not attached to the applications received. Most of these projects, lacking the required documentation, are run off the river type.

According to the Power Trade Department, the combined capacity of these projects is 215 MW. The projects affected by this decision include Upper Trishuli II (102 MW) and Chamelia Chhatigad (85 MW). Following the removal of these project promoters from the roster, the NEA has urged the promoters of six other projects to initiate the PPA process, with a combined capacity of 228 MW.

The NEA has instructed these promoters to contact the NEA within the next 15 days. In its 930th meeting on February 9, 2023, the NEA decided to prioritize projects currently undergoing PPA based on the roster order of the Grid ‘Connection Agreement,’ until the maximum limit of 6,750 MW for river flow projects is reached.

Source: Republica