The Tamor-Mewa Hydropower Project has been set to generate 145 megawatts of electricity.

Spark Hydropower, which initially received a 128 MW permit, has announced plans to produce an additional 17 MW using water from the Tamor River.

Bhanendra Limbu, founder chairman, director, and public relations chief of Spark Hydro Electric Company Limited, explained that the project’s original design envisioned channeling water through a 5-kilometer tunnel from near Thangne Kholsan to a powerhouse near Guheli.

The current plan, however, involves diverting water from Hangdewa Katahare via a 1.5-kilometer headrace pipe, discharging it into the powerhouse in Guheli through an underground tunnel near Thangnekhola. “Changes during the initial study are common in hydropower projects, and the same has happened here,” Limbu said.

Although the main structures will be underground, the powerhouse itself will be above ground. Limbu noted that 22 percent of the work has been completed so far, including the basic infrastructure of the powerhouse, intake structures, main office, staff and worker accommodations, and the main access road, which is now complete up to the gravel level. Blasting work on the main structure is expected to begin within the next two and a half to three months.

At a press conference in Phungling on Sunday, Limbu projected that electricity generation would begin by October 11, 2025, as work progresses steadily. He added that the initial feasibility study had estimated a generation capacity of 101 MW by combining Tamor and Mewa water.

Limbu said that preparations for the required blasting have begun and that tunnel construction will commence once army barracks are set up in two and a half to three months. The total project cost is estimated at NPR 26 billion, with 75 percent (NPR 17.68 billion) financed through bank loans and financial institutions, and the remaining 25 percent (NPR 8.32 billion) covered by equity.

“All work so far has been funded from our own capital,” Limbu said, adding that the project, built at a comparatively lower cost than other hydropower projects, is expected to cost less than NPR 180 million per megawatt. Partner banks for the project include Machhapuchhre, Krishi Bikash, Nepal SBI, Jyoti Bikash, ICFC Finance, Nepal Finance, and Goodwill Finance Limited, under the leadership of Siddhartha Bank Limited.

SPARK received its production license from the Department of Electricity Development on October 11, 2020, and signed a Power Purchase Agreement (PPA) with the Nepal Electricity Authority on October 11, 2023. The foundation stone was laid on May 23, 2024, and construction has since begun.

Electricity generated from the project will be connected to the substation in Dhungesanghu, Maiwakhola Rural Municipality. Limbu added that IEE work for the transmission line has started, and a technical study is underway to extend power from underground cables to the transmission line.

Kantipur