Kathmandu - The Electricity Generation Company Limited has signed a transmission agreement with the Nepal Electricity Authority (NEA) to connect the electricity generated from the 454 MW Kimathanka Arun Partial Reservoir Hydropower Project to the national transmission grid.
The agreement was formalized between NEA’s Grid Development Department, represented by Director Kamal Acharya, and the project developer, represented by Chief Executive Officer Bakhat Bahadur Shahi. As per the deal, electricity from the project will be evacuated through a connection to the Haitar substation, which lies 18.5 kilometers from the project site.
The initial Environmental Impact Assessment (EIA) report is currently under review for approval. CEO Shahi stated that the company aims to finalize the Power Purchase Agreement (PPA) soon and begin construction work by the year 2082 BS.
Planned for construction in Bhotkhola Rural Municipality of Sankhuwasabha District, the project is expected to require an investment of approximately Rs 93 billion. The financial structure of the project includes 30% equity and 70% debt financing.
Designed as a semi-reservoir (partial peaking) project, it will be capable of operating at full capacity for 6 hours daily during peak demand periods. Once operational, the project is expected to generate around 2,551 gigawatt hours of electricity annually.
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📰 Source: UrjaSanchar.com