Nepal’s Budhigandaki Hydropower Project Secures Massive Rs 70 Billion Investment
Nepal’s energy sector is poised for a significant transformation! The Budhigandaki Hydropower Project, a monumental 341 MW endeavor, has successfully attracted a massive investment of Rs 70 arba, solidifying its position as the largest hydropower project in Nepal led by the private sector. This groundbreaking initiative marks a pivotal moment in the country’s journey towards energy independence and economic growth.
Financing the Future of Renewable Energy
The financial backing for this ambitious power project comes from a consortium of ten prominent banks and financial institutions. Nepal Investment Mega Bank is leading the charge, with notable participants including Nabil Bank, Laxmi Sunrise Bank, and Global IME Bank. The funding structure is strategically designed, with 75% of the total project cost (Rs 52.50 arba) financed through debt, and the remaining 25% (Rs 17.50 arba) secured through equity investments. This robust financial plan underscores the confidence in the project’s potential and the strength of the Nepali banking sector.
Sahas Urja to Lead Equity Investment
Sahas Urja, promoted by Times Energy, will spearhead the equity investment, demonstrating a strong commitment to Nepal’s hydropower development. The project will be constructed within the Chum Nubri and Dharche rural municipalities of the Gorkha district, further contributing to local economic development and job creation. The project will operate under a partial reservoir-based peaking run-of-river (P-RoR) system, optimizing power generation capabilities.
Project Details: Features, Timelines, and Capacity
The Budhigandaki Hydropower Project will incorporate a reservoir to facilitate five hours of daily power generation. The project is set to feature an underground powerhouse equipped with six powerful Pelton turbines, each boasting a capacity of 57 MW. The project is targeting commercial power generation by Poush 15, 2087 B.S. Upon completion, the project is expected to generate a substantial 1,867 GWh of clean energy annually, significantly boosting Nepal’s electricity supply. The generated electricity will be transmitted through a 45-kilometer-long, 220 kV transmission line, connecting to the Ratmate substation. This project will substantially contribute to the national grid.
A Milestone for Nepal’s Energy Infrastructure
The Budhigandaki Hydropower Project represents a critical milestone for Nepal’s energy infrastructure development. This privately-led initiative is setting a new precedent for hydropower development in Nepal, demonstrating the immense potential of private sector involvement in driving economic growth and achieving energy security. This project holds immense promise for Nepal’s economy, paving the way for a brighter, more sustainable future powered by clean, renewable energy. This is a significant step towards achieving sustainable development goals within the region.
