The Independent Power Producers’ Association of Nepal (IPPAN) has appealed to the Home Minister and the Energy Minister, stating that security threats to hydropower projects have been increasing in recent times.

In a letter to both ministers on Sunday, IPPAN President Ganesh Karki stated that, in recent times, there has been a rise in demands for 10 percent free shares - contrary to government policy and law - along with increasing disruptions to projects that are completed, under construction, or about to begin. For this reason, he mentioned that the association has been compelled to request security from the government.

The letter emphasized the need and importance of the energy sector - regarded as a key and vital area for Nepal’s economic prosperity - and urged the creation of an investment environment in which investors can feel secure and confident.

The letter specifically mentioned that the 45-megawatt Bhotekoshi Hydropower Project in Sindhupalchok, which has already been completed, has remained shut for the past 17 days due to demands - including 10 percent free shares - raised in the name of the Gen-Z Group of Bhotekoshi Rural Municipality. As a result, it stated, more than 160 million rupees have already been lost, with daily losses of around 9.8 million rupees.

The letter stated that IPPAN has taken serious note of the incident in which, even after the shutdown of the power plant, personnel have not been allowed to carry out the daily maintenance and monitoring that is required.

Similarly, the letter mentioned that in the name of locals of Jugal Rural Municipality in Sindhupalchok, letters have been sent to 10 hydropower projects demanding free shares, and that in other areas as well, various demands are being made to obstruct projects. It therefore called for maintaining peace and security at those projects.

It was mentioned that disruptions to the projects not only increase their cost and duration but also completely discourage private sector investment.

The letter stated that in recent years, attacks, vandalism, arson, and similar activities against energy projects have been increasing. As a result, private sector investment has become insecure, and therefore, it has also called for the formulation of a separate energy security policy to guarantee the long-term safety of investments made by both domestic and foreign investors in the energy sector.

Source: Online Khabar