The New Butwal-Gorakhpur cross-boarder transmission line, with a 400 kVA capacity, had its foundation stone laid during Prime Minister Pushpa Kamal Dahal’s visit to India. By flipping the switch, the transmission line’s foundation stone was jointly laid by the prime ministers of India and Nepal.

The Dhalkebar-Muzaffarpur transmission line was the first 400 kVA transmission line built with India, and this one is the second. The transmission line being constructed in Nepal as part of the US grant program MCC- Nepal will be connected to the New Butwal-Gorakhpur transmission line.

Just the transmission line’s section facing India has its foundation laid with this stone. Butwal-Gorakhpur Cross Border Transmission Limited (BGCPTL) is building the section in India.

To construct the second international transmission line between Nepal and India, the Nepal Electricity Authority (NEA) established a joint venture called BGCPTL.

This company plans to construct the Indian line underneath the 400 KV New Butwal-Gorakhpur transmission line.

In both the Power Grid Corporation of India Limited and Nepal Electricity Authority, which are owned by the Indian government, it has a 50/50 ownership stake.

The investment of 460 million Indian Rupees (roughly Rs 736 million) to purchase 50% of the business has already been approved by the Nepal Electricity Authority.

The form of investment for the construction of the transmission line was decided upon at the seventh meeting of the mechanism of the Nepal-India Energy Secretary and Joint Secretaries, held on October 27 and 28, 2020.

The project is expected to cost 7.39 billion rupees. Of that, 20 percent of the project’s equity and 80 percent of its debt financing will be used for its financial management.

The authority itself is setting up the transmission line for Nepal. About 120 km separate New Butwal Substation in Sunwal Municipality-13 of Nawalparasi from Gorakhpur Substation in India along a 400 KV double circuit transmission line. Twenty kilometers of that are toward Nepal, and the remaining kilometers are toward India.