Nepal Electricity Authority Signs 25-Year Power Purchase Agreement with Dharamnagar Solar

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Kathmandu, Nepal – November 26, 2023: The Nepal Electricity Authority (NEA) has signed a Power Purchase Agreement (PPA) with Dharamnagar Solar for a 25 MW solar power project. The agreement promises to further Nepal’s commitment to renewable energy production and add valuable capacity to the national grid.

The signing ceremony was held on Sunday, November 26, 2023. Representatives from both parties were present, with Deputy Executive Director Pradeep Thike signing on behalf of the NEA and Sandeep Shah, Chairman and Managing Director of Pashupati Renewals representing Dharampur Solar.

The PPA states that the NEA will purchase the solar power generated for a period of 25 years. It’s worth noting that the project consists of two phases: Dharamnagar Solar Farms 1st and 2nd, with capacities of 10 MW and 15 MW respectively. The chosen project site is near Chanouta in Kapilvastu district.

The solar project is designed to generate over 50 gigawatt-hours of electricity annually. Construction for both phases is well underway, with anticipation for Dharamnagar Solar Farms 1st to begin production by December 2024 and the second phase by March 2025.

This is a significant step for Nepal’s energy future, highlighting the commitment towards a cleaner and more sustainable energy mix.

The agreement contributes to fulfilling the nation’s renewable energy goals and supports Nepal’s efforts to meet its energy needs through clean and environmentally-friendly sources.