Nepal Approves $160 Million Investment in Two Hydropower Projects

Nepal’s Investment Board has approved investments in two semi-reservoir hydropower projects worth a combined 21.17 billion Nepali rupees, or approximately 159 million US dollars.

A meeting of the Investment Board, chaired by Prime Minister Balendra Shah on Friday, approved an investment of 10.75 billion rupees, or about 81 million dollars, for the 58.9-megawatt Narkhola project.

It also endorsed 10.42 billion rupees, equivalent to around 78 million dollars, for the 46.72-megawatt Sani Bheri-3 project.

The meeting also set February 2028 as the target for commercial power generation from the 900-megawatt Arun-3 Hydropower Project.

It decided to move forward immediately with construction of the 900-megawatt Upper Karnali Hydropower Project, in line with its project development agreement.

The Board also decided to delegate greater authority to its chief executive officer to oversee approved projects and facilitate services for investors.

It will use the Swiss Challenge method when needed to prioritise projects that support the development of renewable energy in Nepal.

Finance Minister and Board Vice-Chairman Dr Swarnim Wagle, Energy Minister Biraj Bhakta Shrestha, other ministers, senior government officials and board members attended the meeting.