Electricity from Nepal will now reach Bangladesh through Indian grid
This landmark development strengthens sub-regional connectivity and sets a new benchmark in the South Asian power sector, Randhir Jaiswal, official spokesperson for India’s Ministry of External Affairs, says.
Electricity generated in Nepal will now reach Bangladesh via the Indian grid, marking the first trilateral power transaction.
The power flow transaction was jointly inaugurated by Ministry of Power, Energy and Mineral Resources Adviser Md Fouzul Kabir Khan, Indian Union Minister for Power, and Housing and Urban Affairs Manohar Lal Khattar; and Nepal’s Minister of Energy, Water Resources and Irrigation Dipak Khadka through a virtual event hosted by the Energy ministry of Nepal today (15 November).
Randhir Jaiswal, official spokesperson for India’s Ministry of External Affairs confirmed the development through a social media post on X, formerly known as Twitter.
The post said, “Nepal’s power will now reach Bangladesh via the Indian grid, marking the first trilateral power transaction.”
“This landmark development strengthens sub-regional connectivity and sets a new benchmark in the South Asian power sector,” it added.
According to a press statement on the Indian Ministry of External Affairs website, the power transaction from Nepal to Bangladesh, through the Indian grid, will export up to 40 MW of power.
The decision to facilitate the power transaction through the Indian grid was announced in June last year, during the visit of the former prime minister of Nepal Pushpa Kamal Dahal ‘Prachanda’ to India from 31 May to 3 June 2023, the statement said.
During the visit, both sides had expressed their commitment towards greater sub-regional cooperation, including in the energy sector, which would lead to increased inter-linkages between the economies for mutual benefit of all stakeholders, it added.
Subsequently, the Bangladesh Power Development Board (BPDB), Nepal Electricity Authority (NEA), and NTPC Vidyut Vyapar Nigam Limited (NVVN) of India signed the tripartite power sales agreement at a ceremony in a Kathmandu hotel on 3 October this year.
The start of this power flow from Nepal to Bangladesh through India is expected to boost sub-regional connectivity in the power sector, the statement added.
Earlier in June, the Cabinet Committee on Government Purchase approved a proposal to import 40MW of hydropower from Nepal at Tk 8.17 per unit, including transmission cost, under a five-year agreement.
