SN Power forms PDA negotiation team

KATHMANDU, May 9:

SN PowerSN Power, a Norwegian power involved in the development of Tamakoshi III (650 MW) hydropower project, has formed a six-member project development agreement (PDA) negotiation team.

The formation of PDA negotiation team right after SN Power signed project negotiation agreement (PNA) with the Investment Board Nepal (IBN) indicates that the Norwegian form is serious about developing the project.

“SN Power has sent a letter to IBN including details of the members in the PDA negotiation team,” a source privy to the issue told Republica.

The team includes Dr Sandeep Shah, vice president and country director of SN Power; Stale Rustad, project director for Asia of SN Power; Daniel Seeger, legal counsel; Christian Knoph, director, project finance; Ronald Storhammar, finance director; and Apar Neupane, business manager.

“We will be supported by Sinha Verma Law Concern´s senior advocate Anil Kumar Sinha and Rajeshwor Shrestha in the negotiations,” reads the letter sent by SN Power to IBN. “We may add other resources in the team as per the requirement.”

Confirming the development, Radhes Pant, CEO of IBN, said SN Power has sent the details of its PDA negotiation team.

According to the source, the first round of negotiations will take place on May 27.

IBN has already formed PDA negotiation team on its part. The team includes Pant, Mukunda Prasad Paudel, joint secretary at IBN; Anup Kumar Upadhyay, director general at the Department of Electricity Development (DoED); Baikuntha Aryal, joint secretary at the Ministry of Finance; and Keshab Dhoj Adhikari, joint secretary at the Ministry of Energy.

IBN and SN Power had signed PNA couple of weeks ago. As per the PNA, the developer should complete PDA negotiation within the 18 months of the signing of PNA.
SN Power had got survey license for the project in 2007.

According to the letter sent by SN Power, Shah and Rustad will be leading the negotiation from their side. Pant will lead the government side in the negotiation.
The development will get generation license after the PDA is signed.

Environment Impact Assessment (EIA) of the project, which is estimated to cost Rs 120 billion, has already been done.

Source : Republica