‘Indian party will sign electricity purchase agreement in upcoming power summit’

KATHMANDU: During the eighth Power Summit, the promoters of the Nepali hydropower projects and Indian buyers will sign a Memorandum of Understanding for the direct purchase of electricity.

Both parties will sign an agreement on the purchase and sale of electricity during the Power Summit, which will take place in April.

At the power summit, a direct electricity purchase and sale agreement will be made between Indian buyers and Nepal’s hydroelectricity promotion companies, according to Ashish Garg, vice president of the Independent Power Producers Associations of Nepal (IPPAN) and summit coordinator.

The development of renewable energy and the expansion of the market will be the focus of additional agreements and memorandums of understanding that will be signed at the summit, he predicted.

According to Vice President Garg, electricity trading should be permitted in the private sector in order to facilitate the export of electricity generated in Nepal to India. The Power Summit is being held in the hopes of attracting investment and facilitating the trade of electricity, he said.

IPPAN, the nation’s umbrella organization for private power producers, organized the Power Summit 2023, which will take place in the nation’s capital on April 18–19.

The Power Summit will feature 15 sessions, according to IPPAN President Krishna Prasad Acharya, covering the electricity market in Nepal, transmission infrastructure, hydropower demand in Nepal, technology and innovation, solar and hydrogen energy, regulatory organizations, global electricity trade, and sustainable and climate-friendly development.

At the Summit, a project bank on environmental, social, and good governance, regional cooperation, and energy security issues with a total capacity of 5,000 megawatts from the Investment Board Nepal and the private sector will be on display. It will be a crucial chance for investors to talk about and comprehend energy projects, he predicted.