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  IPPAN Invites Canadian Investors to Explore Opportunities in Hydropower

Ganesh Karki, President of the Independent Power Producers’ Association, Nepal (IPPAN), has formally invited Canadian investors to explore opportunities in Nepal’s hydropower sector.

President Karki made this appeal during a program on dam safety organized by the Canadian Dam Association. He highlighted that, despite Nepal’s immense potential for hydropower generation, only 3,000 megawatts of electricity have been produced to date.

He provided insights into the current status of hydropower projects, noting that initiatives with a total capacity of 4,000 megawatts are currently under construction. Additionally, projects with another 4,000 megawatts have signed Power Purchase Agreements (PPAs) and are now awaiting financial arrangements.

Karki elaborated on future prospects, indicating that projects totaling 10,000 megawatts are pending Power Purchase Agreements, while additional projects with a similar capacity are in various stages of feasibility studies.

He further stated, “The government has outlined a roadmap aiming to generate 28,500 megawatts of electricity over the next decade. Nepal’s hydropower potential is at least 72,000 megawatts. I strongly encourage Canadian investors to consider investing in Nepal, as there is a pressing need for substantial investment, which can result in favorable returns.”

Karki assured investors of a reliable market for electricity generated in Nepal, noting that an agreement has already been reached to export 10,000 megawatts to India, with ongoing efforts to export an additional 5,000 megawatts to Bangladesh. Currently, 1,000 megawatts of electricity are being exported to India, and only the signing of an agreement for the export of 40 megawatts to Bangladesh remains.

While acknowledging that 40 megawatts may appear modest, he emphasized that Bangladesh projects a need to import 9,000 megawatts from Nepal by 2040 to satisfy its electricity demand.

Karki reiterated his call for Canadian investment in Nepal, underscoring the significant demand for electricity in the rapidly growing economies of India and Bangladesh, along with the substantial potential for large-scale hydropower production in Nepal, which promises attractive returns for investors.

Source: Online Khabar

[ 25 September, 2024 / nepalenergyforum.com ]   
 
 
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