Nepal is looking to sharply increase hydropower supplies to India to help meet rising electricity demand, as the conflict in West Asia complicates fuel availability and energy planning
The Himalayan nation plans to nearly double its contribution to India’s grid to about 1.1 gigawatts (GW) this summer, when high temperatures are expected to push power demand to record levels, according to Hitendra Dev Shakya, managing director of state-run Nepal Electricity Authority. Over the next two years, exports could rise to around 2.5 gigawatts as transmission infrastructure improves.
The move comes at a time when tensions in the Middle East have disrupted energy markets, with India heavily dependent on the region for fuel supplies. Attacks on facilities and the closure of the Strait of Hormuz have tightened availability of gas and other fuels, testing the country’s energy security during the peak consumption season.
Supply disruptions have affected liquefied petroleum gas used by more than 330 million households in India, while shortages of natural gas could also impact power generation, particularly at night when solar output falls.
Although Nepal’s contribution would remain small compared with India’s expected peak demand of about 283 GW this summer, additional hydropower imports could help offset shortfalls. Last year, Nepal supplied around 600 MW of round-the-clock power to India for six months through November, and it is now seeking buyers to export another 500 MW, added Shakya.
ET
