Construction of the 30 MW Ngadi Hydro project is all set to begin from the second week of February at Bahundanda of Lamjung.

A contract for infrastructure development, and hydro-mechanical and electro-mechanical development has been signed between promoter Ngadi Hydro Power Limited and the Chinese company Chachiyang Hydro Power Construction and Installation Company Ltd.

Chairperson of the hydro project Rajib Rajbhandari and Lieu Koxing from the contracting company signed the agreement, said project Manager Bishnu Shrestha.

The project will be completed within three years.

Nabil Bank, Global Bank, Himalayan Bank, Sunrise Bank, and Hydro-power Investment and Development Company have agreed to invest in the project, with Everest Bank possessing the largest investment share.

More than 250 million rupees was spent on infrastructure development before beginning the construction of the project. A motorable bridge will be constructed over the Marsyangdi River. Development projects and agreements such as land purchase, access road construction, power purchase agreement, recruitment of consultants for supervision and monitoring, and financial management have already taken place, according to project sources.

The project will sell 168 GW power to the NEA per year, at Rs 4.8 per unit during the rainy months, and Rs 8.4 per unit during dry months.

Power will be supplied from the proposed Marsyangdi Corridor Transmission Line based at Khudi sub-station, which is 7 km from the switch yard of the powerhouse.

The total estimated budget of the project is said to be 59 million dollars.