A high-level team from the Asian Development Bank (ADB) and the Nepal Electricity Authority (NEA) has conducted a monitoring visit to the Tanahu Hydropower Project, a 140-megawatt reservoir-based hydropower plant under construction on the Seti River in Tanahu.

The team, which included Arnaud cauchois, Country Director of ADB’s Nepal Resident Mission, and Kulman Ghising, Managing Director of NEA and Chairperson of the Board of Directors of Tanahu Hydropower Ltd., inspected the site on Monday and received updates on the progress of the project.

The team inspected the construction of the 140-meter-high main dam under Package-1, the underground powerhouse under Package-2, as well as the hydromechanical and electromechanical equipment and the main tunnel construction site.

The team held detailed discussions with the company, project management, consultants, and contractors to gather information on construction progress, challenges faced, and the construction schedule. Kiran Kumar Shrestha, Managing Director of Tanahu Hydropower Ltd., and Project Chief Shyamji Bhandari briefed the team on the construction progress and the issues being encountered.

The team also held discussions with Shyam Krishna Thapa, Chief District Officer of Tanahu, the Assistant Chief District Officer, the Chief of the Survey Office, and representatives of the Land Revenue Office regarding issues such as the acquisition of additional land in the buffer zone of the project and problems related to public land. The team requested necessary support and facilitation from the Chief District Officer and his team to resolve land-related issues.

ADB’s Resident Mission Director, Arnaud cauchois, emphasized ADB’s particular interest in the implementation and technical aspects of the environmental and social safeguards adopted by the project. He urged for the immediate resolution of the current issues to ensure the project’s completion within the specified time-frame and with the expected quality.

Managing Director of the Nepal Electricity Authority, Kulman Ghising, highlighted the significant contribution and support the reservoir-based Tanahu Hydropower Project would provide in balancing electricity demand and supply during the dry season. He emphasized that all stakeholders must take responsibility and work diligently to ensure the project is completed on time.

Ghising stated that while the construction of structures such as the powerhouse and transmission lines is in its final stages, the dam construction remains challenging and sensitive. He directed the concerned parties to prioritize the dam construction and proceed with the work accordingly.

The main structures of the project have been divided into three packages, with the overall progress of the ongoing construction reaching 63%. The goal is to complete the entire construction by July 2026.

A 140-meter-high main dam will be constructed on the Seti River, which flows along the boundary of Rishing Rural Municipality-1 and Byas Municipality-5. Grouting is being carried out in the lower section of the main dam under Package-1. A crusher and batching plant have been installed and are in readiness.

The construction of the main dam is set to begin soon. The construction progress of Package-1 is about 36%. The work for Package-1 is being carried out by Song Da Corporation, Vietnam-Kalika Construction (P) Ltd. Nepal JV.

Under Package-2 of the project, a 1493-meter-long tunnel, starting from the reservoir intake and extending to the location of the penstock pipe, has been completed with a “breakthrough” (tunnel completion), and concrete lining is underway. Water from the main tunnel will be directed to the underground powerhouse through a 213-meter-long penstock pipe for power generation. The installation of the penstock pipe is in its final stage.

The tunnel, powerhouse construction, and the supply, installation, and commissioning of the hydromechanical and electromechanical equipment for Package-2 are being carried out by Sino Hydro Corporation, China.

Under Package-2 of the project, a 1,493-meter-long tunnel starting from the reservoir intake and extending to the location of the penstock pipe is being constructed with concrete lining through a “breakthrough” process. The water from the main tunnel will be directed to the underground power house through a 213-meter-long penstock pipe to generate electricity. The penstock pipe installation is in the final stage for this. The construction work for Package-2, including tunnel construction, power house construction, and the supply, instal, and operation of hydro-mechanical and electro-mechanical equipment, is being carried out by Sinohydro Corporation, China.

The construction of the civil structures of the power house is in the final stage. Works such as the construction of the switchyard and the installation of equipment in the power house are ongoing. The tailrace construction has been completed. The overall physical progress of this package is about 62 percent. Under Package-3, KEC International Limited, India, is constructing the 220 kV double circuit transmission line from Damauli to Bharatpur, Chitwan. Out of the 94 towers along the 34.7 km transmission line, the foundations for 78 towers have been completed, and 69 towers have been erected. The overall construction progress of this package is 74 percent.

Under the project’s social development program, the Tanahu Rural Electrification and Distribution System Strengthening Project has been completed for electrification in Tanahu District through the Project Management Directorate of the Nepal Electricity Authority.

Under this, two 33/11 kV substations have been constructed and put into operation in Ghirung Municipality-4 and Bandipur Municipality-6 for local electricity supply. A 33 kV line has been constructed to supply electricity to these substations. To make the electricity supply in Tanahu District adequate, reliable, and of high quality, distribution transformers of various capacities have been installed at different locations, and an 11 kV line has been constructed.

Under the community development program, a total of 63 projects have been completed in the project-affected areas so far, including those related to education, health, drinking water, roads, and river embankment construction. Ten projects are currently ongoing. Various skill-based training programs are being conducted to enhance the livelihoods and income generation of the project-affected communities.

The company’s capital structure and financial management for the total project cost (including transmission line, rural electrification, and interest during the construction period) of 505 million US dollars has been arranged as follows: ADB will provide 150 million, Japan International Cooperation Agency (JICA) will contribute 184 million, the European Investment Bank will provide 85 million, and the Government of Nepal/Nepal Electricity Authority will cover 86 million US dollars.

The company has advanced the development process of the Lower Seti Hydropower Project, which will generate 126 megawatts, by utilizing the flow from the project after electricity production and the water from the Bheri and Madi rivers in the lower coastal region.