KATHMANDU

The Nepal Electricity Authority (NEA) has exported power worth Rs 15.4 billion to India during the monsoon this year. As per the agreement, the NEA started exporting surplus electricity to India on June 1, 2023.

Accordingly, the NEA sold over 1.7 billion units of electricity worth Rs 15.4 billion to India between June 1 and December 6, 2023. Maximum 700 megawatts of power were sold on a daily basis at Rs 8.77 per unit.The disaggregated data shows over Rs 13.2 billion worth of electricity was sold in five months, from the Nepali month of Shrawan (July-August) to Mangsir 20 (December 6). During the period, more than 1.47 billion units were sold at Rs 8.96 per unit.

However, following the decrease in the production of electricity as a result of the decrease in the water flow in the rivers due to the dry season, the demand for internal consumption has increased, resulting in the commencement of the import of power from the Indian market. So, the exports will come to a halt tomorrow night, it has been said.

The import of electricity from India has started as domestic production is not enough to meet the demand at home, said NEA executive director Kulman Ghising, adding that the current daily demand for power is a maximum of 1700 megawatts across the country. “Now, production and demand are at an equal level. We are operating our semi-reservoir-based power houses during the peak hours in the evening and morning after filling during noon and night,” he said. “The import of electricity during peak hours is costlier, and it is relatively cheap during noon and night. So, electricity will be purchased outside of peak hours.”

This year, Nepal is projected to be an exporter of electricity, despite somehow increasing imports in the Nepali months of Chaitra (March–April) and Baisakh (April–May).”The exports will resume in the second week of the coming Baisakh (last week of April, 2024). This year, around 900 megawatts of electricity are being added to the national grid. Similarly, next year, power worth approximately Rs 25 billion will be exported. High-powered transmission lines are being constructed for transmission operation improvement between the two countries. On the other hand, hydropower projects are being built within the country. In this context, a climate is being created wherein electricity worth around Rs 100 billion will be exported in the next five years.”