Kathmandu: Nepal on Monday approved India's hydropower board to study and develop 1,200MW hydropower projects in western Nepal. The projects include 750MW West Seti Hydropower Project and 450MW Seti River (SR-6), a joint storage project.
The Nepal Investment Board (NIB), the government body entitled to approve foreign investments, has approved a Memorandum of Understanding with Indian developer National Hydro Electric Power Corporation Pvt Ltd, a Government of India Enterprise, for conducting a feasibility study of the joint development of hydropower involving 750 MW West Seti Hydropower Project and 450 MW Seti River 6 Project, a combined capacity of 1200 MW.
The decision to this effect was made during the 52nd meeting of the Nepal Investment Board held in Kathmandu chaired by Prime Minister Sher Bahadur Deuba. The NHPC Limited under India's Ministry of Power had submitted a proposal in May to develop the West Seti Hydropower Project. The West Seti project first envisioned some six decades ago is located on the Seti River in the far west of Nepal. The proposed dam site is located 82 kilometres upstream of the confluence of the Seti and Karnali rivers, forming part of the Ganges basin.
The project sites are located at elevations ranging from 550 to 920 metres and are spread across six districts. The estimated cost of the project, according to the Investment Board, is USD 2.4 billion. Similarly, the meeting also directed the board to expedite preparations for approval of investment for the 679 MW Lower Arun hydropower project and reach a project development agreement with another Indian power company Satlaj Jalavidyut Nigam (SJVN).
The SJVN has signed a Memorandum of Understanding with the Nepal government last year to develop the Lower Arun hydropower project. The USD 1.3 billion project, the single biggest foreign investment project, as per the 2017 cost estimates, is located in the Sankhuwasabha and Bhojpur districts of Eastern Nepal.
Meanwhile, the meeting also decided to organise Sustainable Infrastructure Investment Forum 2022 in September in Kathmandu for promoting investment in sustainable infrastructure development in Nepal. During the meeting, Prime Minister Deuba instructed the concerned authorities to expedite works so as to complete the study and construction of national pride projects such as West Seti, Upper Karnali, Arukn three and Lower Arun, according to a press release issued by NIB. (PTI)
