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Nepal Electricity Authority (NEA) will be allowed to purchase electricity for only 16 hours a day starting April 16 (Baisakh 3) from India’s open electricity market, the Indian Energy Exchange (IEX). This limitation has been imposed by India while renewing Nepal’s electricity import permission.

This annual renewal arrangement was set to expire on Tuesday, and the new permission includes restrictions on supply hours. According to NEA, India’s Central Electricity Authority has decided not to export electricity through IEX’s day-ahead and real-time markets during periods of high domestic demand in India.

According to NEA Managing Director Hitendra Dev Shakya, Nepal will receive electricity 24 hours a day until April 15, and after that, only for 16 hours daily for about two and a half months.

From April 16 to 30, electricity imports will be allowed from 2:00 AM to 6:00 PM, and during May and June, from 4:00 AM to 8:00 PM. From July onwards, imports will again be permitted 24 hours a day.

Due to this arrangement, there may be some difficulties during peak evening demand over these 45 days. However, electricity supplied through other agreements will continue as usual.

Shakya stated that despite reduced supply hours in April and May, there will be no issues in load management. “With increased domestic production, sufficient water levels in the Kulekhani reservoir, and full-capacity generation from Upper Tamakoshi Hydropower, there will be no problem,” he said. “Last year during the dry season, we received electricity only during solar hours. Load management will be handled efficiently this time.”

He also informed that 180 MW of electricity purchased through power purchase agreements signed last October, along with other contracted supplies, will continue to be received regularly.

Since most hydropower projects in Nepal are run-of-river types, domestic electricity production drops to about one-third during the winter/dry season.