Urges prompt resolution of compensation disputes, stresses adherence to law over undue influence.
The government has decided to chart out a strategy in order to produce 28,500 megawatts of energy by 2035. A meeting chaired by the Prime Minister KP Oli on Monday at the Prime Minister’s Office discussed various aspects of the energy generation work plan, according to a statement issued by the prime minister’s private secretariat.
The prime minister discussed the energy generation work plan with different ministers and senior officials, aiming to boost energy production and consumption, said the statement. “In order to produce 28,500 MW of energy by 2035, the meeting discussed how to bring reforms in legal, policy, institutional and procedural aspects, as well as other areas like energy production, infrastructure, trade, and management of financial resources.”
Time and again, successive governments in Nepal have proposed energy production targets, seeking to reduce Nepal’s dependence on fossil fuels and transiting towards clean and green energy.
The Water and Energy Commission in 2013 came up with Nepal’s energy sector vision-2050 and offered multiple suggestions to the government on how to reduce dependency on fossil fuels by transiting to clean and green energy.
In a recent interview, Ganesh Karki, president of the Independent Power Producers’ Association, Nepal (IPPAN), stated that the Ministry of Energy, Water Resources and Irrigation (MoEWRI) has outlined an ambitious plan to generate 28,500 MW by 2035, exporting 15,000 MW to neighboring countries while keeping 13,500 MW for domestic consumption.
To achieve this, infrastructure enhancements—such as transmission lines and distribution networks—are essential. Karki said the estimated cost for executing this plan stands at over Rs6,100 billion.
Present during Monday’s meeting were Deputy Prime Minister and Finance Minister Bishnu Paudel, Foreign Minister Arzu Rana, Minister for Energy, Water Resources and Irrigation Minister Dipak Khadka, Chief Secretary Ek Narayan Aryal, and other senior government officials, where they also discussed issues related to forest, environment, and land acquisition that are prerequisites for energy and irrigation projects.
In the meeting, the prime minister emphasised the need to address project delays and cost overruns caused by procedural delays and unclear policies. Oli also stressed that as Nepal increases its energy production, it should diversify energy trade, build a dedicated transmission line to export energy to Bangladesh via India, and explore opportunities to export energy to other countries through Bangladesh.
Just last week, Nepal, India and Bangladesh signed a tripartite agreement to export Nepal’s electricity to Bangladesh via India. Nepal will initially export 40 MW of energy to Bangladesh via India.
Oli also instructed the Nepal Electricity Authority on the compensation issues and disputes arising in the course of expanding power transmission lines, emphasising that these should be managed based on the rationale and scope of work, said the statement.
“It should not be perceived that the state cannot take actions against irregularities and manipulations. Our mechanism should not operate based on what the powerful say. We must act as per the law, regulations, demands of the time and requirements of the country, not on the basis of power and strength,” said Oli.
As per the work plan, by 2035, the target of 28,500 MW is expected to generate a revenue of Rs265 billion a year. Likewise, the meeting of the target will generate 865,000 new jobs.
Generation of that quantum of energy will require $46.5 billion. Currently, Nepal is producing 3,243 MW. Nepal has also signed an agreement to import 10,000 megawatt from Nepal within the next decade under a long-term power trade agreement.
