FCC

Nepal to tackle issues in Arun III hydropower project

2023-10-19

In a high-level meeting, Nepal Prime Minister Pushpa Kamal Dahal 'Prachanda' chaired the discussion and recommended that issues concerning the entry route of the Arun III Hydropower Project, the country's largest with a capacity of 900 MW, currently being constructed by an Indian company, should be resolved to ensure its timely completion. The project, located on the Arun River, is a run-of-the-river hydropower venture undertaken by SJVN Arun-III Power Development Company (SAPDC), a wholly-owned subsidiary of India's Satluj Jal Vidyut Nigam (SJVN).

SJVN operates as a joint venture between the Government of India and the Government of Himachal Pradesh. The hydroelectric power plant, situated in the Sankhuwasabha district, is set to become Nepal's largest hydroelectric facility in the Himalayan region.

It was further stated that Nepal will receive 21.9% of the electricity generated at the power plant as free power during the initial 25 years of commercial operations. Following this period, the plant will be handed over to the Nepal government.