Electric rotors have been successfully installed in the underground powerhouse of the Tanahun Hydropower Project, marking a significant milestone in Phase 2 of the project's development.

Sino Hydro Limited, responsible for this phase, has fitted two rotors, each weighing 190 tonnes. Project chief Shyamji Bhandari expressed satisfaction, and said, "I am very happy that this complex and important work has been successful."

Due to the rotor’s size and weight, special equipment was used to install it through the tunnel. Bhandari said that the rotor took eight months to build. It will generate electricity as water from the tunnel drives its rotation. Work inside the powerhouse is now nearing completion.

The 140 MW project in Jhaputar in Rishing Rural Municipality-1, Tanahun, is being developed in three phases. Phase-1 (dam construction) has reached 36.15 per cent, while Phase-3 (transmission line) stands at 75 per cent success.

However, delays in forest land clearance have hindered progress on the transmission line. The project is liaising with relevant authorities to resolve the issue.

Scheduled for completion by mid-July 2026, the project’s total cost is estimated at US$ 505 million. Funding comes from the Asian Development Bank (US$ 150 million), JICA (US$ 184 million), the European Investment Bank (USD 85 million), and contributions from the Government of Nepal and the Nepal Electricity Authority (US$ 86 million).

Once operational, the project is expected to generate an average annual 587.7 million units electricity for the first 10 years, and 489.9 million units thereafter.

Alongside construction, the project is actively supporting the livelihoods of those affected by it. Under its corporate social responsibility programme, it has provided skill development training, including a one-month light vehicle driving course for 36 individuals from impacted areas. Of the participants, six were women. Training was conducted in Damauli and Bhimad for accessibility.

To date, 66 local development projects—such as street lighting, embankment construction, and river control—have been completed, with nine more underway with support from the project. About 342 people (168 men and 174 women) have received training in driving, sewing, plumbing, electrical work, financial literacy, and agriculture.