Nepal has begun exporting an additional 144 MW of electricity generated by its Kaligandaki hydroelectric power station to India through its electricity exchange market.
Buoyed by continued rainfall this year, the Himalayan country is exporting excess electricity to India through its power exchange for the second straight year, according to the Nepal Electricity Authority (NEA), the state energy management company.
According to Pradeep Thike, deputy head of Nepal Electricity Authority, the average rate of electricity sales was around Rs 7.
The NEA has started exporting the additional electricity generated by its hydroelectric power station in Kaligandaki to India from midnight Saturday.
The electricity will be exported to India under the Nepal-India electricity exchange agreement, Thike said.
The NEA previously began selling 37.7 MW of electricity generated by its 24 MW Trishuli and 15 MW Devighat power plants from midnight Wednesday after the Himalayan nation’s power plants began generating excess energy.
“After the addition of electricity generated from the 144 MW Kaligandaki Hydropower Project, Nepal will sell a total of 178 MW of electricity to India through India Energy Exchange Limited (IEX),” said Thike.
On April 6, India allowed the NEA to sell an additional 325 MW of electricity generated from four hydel projects – Kali Gandaki (144 MW), Middle Marsyangdi (70 MW) and Marsyangdi (69 MW) – all developed by the NEA, and Likhu 4 Hydropower Project with a capacity of 52.4 MW, developed by the private sector.
This is the second year in a row that the Himalayan country has sold electricity to India through its foreign exchange market.
With the onset of monsoons, hydroelectric power plants in Nepal are producing excess electricity from the elevated water levels in the Himalayan rivers.
Last month, it had invited Indian companies to sell its 200MW of surplus energy in the coming monsoon season under a long-term power purchase agreement.
During the recent visit of Nepalese Prime Minister Sher Bahadur Deuba to India, Nepal had obtained permission from the Indian side to export up to 364 MW of electricity to the Indian energy market.
The IEX under the Indian Ministry of Energy had authorized the NEA to provide an additional 326 MW for trading in the Indian electricity exchange market.
Nepal will be able to export electricity to India until mid-November and under the existing arrangements, it could earn up to 14 billion Nepalese rupees in the Indian market over the next five and a half months, according to NEA officials. †
Nepal has become an energy surplus since the 456 MW Upper Tamakoshi Hydropower Project came into full operation in August last year, the Himalayan Times report said in November last year.