A trilateral accord is on the horizon, paving the way for electricity export from Nepal to Bangladesh via India. Nepal Electricity Authority (NEA) officials confirm that a preliminary understanding exists, with a formal agreement among the three nations imminent. Initial plans involve exporting 40 MW of electricity from Nepal to Bangladesh, heralding a significant step in regional energy collaboration.
Officials from the Nepal Electricity Authority (NEA) highlight a burgeoning consensus to export Nepal’s electricity to Bangladesh via an Indian transmission line.
The NEA spokesperson, Suresh Bhattarai, emphasizes that while a formal accord is pending, a verbal understanding has solidified the foundation for this trilateral partnership.
Empowering the Alliance: Initial Phase of Electricity Export
In the first phase of this collaborative venture, plans are set to export 40 MW of electricity from Nepal to Bangladesh.
This pivotal step is set to soon culminate in a formal agreement, propelling the cross-border energy trade into action.
Bhattarai underlines the readiness of Bangladesh to acquire this initial 40 MW of electricity, marking a tangible expression of their shared energy goals.
Framing the Agreement: Next Steps in Energy Trade
Though awaiting the formal signing of the agreement, vital components like the Power Purchase Document (PPD) have been harmonized between Nepal and Bangladesh.
Yet, some critical aspects, including tariff and trade margin, remain to be conclusively determined.
Prabal Adhikakry, a senior NEA official, underscores that while a formal accord is pending, consensus has been reached through email communication.
India’s Instrumental Role: A Catalyst for Energy Exchange
Central to this energy alliance is India’s supportive role as a facilitator for electricity transmission from Nepal to Bangladesh.
Bhattarai lauds India’s positivity in this endeavor, clarifying that India’s participation is instrumental in ensuring the success of this cross-border trade.
Notably, without India’s concurrence, this venture cannot be realized.
Symbolism in Collaborative Progress
While the 40 MW electricity export volume might appear modest, its symbolic significance in fostering regional energy collaboration is monumental.
Officials emphasize that the accord itself holds immense value, marking a groundbreaking juncture in Nepal’s electricity export history.
Ganesh Karki, President of the Independent Power Producers’ Association, accentuates the significance of the agreement and anticipates the resolution of pending issues.
With the imminent formalization of this trilateral agreement, prospects shine brightly for sustained electricity trade between Nepal and Bangladesh.
Bangladesh’s aspiration to procure 9,000 MW of electricity from Nepal underscores the depth of potential within this energetic partnership.
A collective framework was forged during the fifth meeting of the secretary-level Joint Steering Committee on energy cooperation between Nepal and Bangladesh, with India’s collaborative inclusion at the heart of this transformative initiative.
