New Business Age
x

MCC Compact Published in Nepal Gazette   

  377 times read   2 min 26 sec to read
MCC Compact Published in Nepal Gazette   

May 1: The US-funded Millennium Challenge Corporation (MCC) Compact project has been published in the Nepal Gazette, the government's official bulletin.    
With this, the project considered a milestone in the development of energy and infrastructure sector of Nepal has formally come into the implementation process.    
The $500 million project funded by the US government was ratified by the Federal Parliament on February 27, 2022 along with a 12-point interpretative declaration after a long political dispute and differences. The government and the MCC had signed the agreement on September 14, 2017.    
The MCC compact aims to maintain road quality, increase the availability and reliability of electricity, and facilitate cross-border electricity trade between Nepal and India—helping to spur investments, accelerate economic growth, and reduce poverty.    
A total 312-kilometre transmission line of 400 kV capacity and nearly 100 kilometres of road would be constructed with the grant assistance under the MCC.    
The MCC compact has been ratified in line with Article 279 of the Constitution of Nepal and its authenticated copies in the Nepali and English language have been published in the Nepal Gazette as per Clause 12 of Nepal Treaty Act, 2074 BS.    
As per the agreement, MCC will provide US$ 459.5 million for the project. Apart from the financial management, US government will provide additional US$ 40.5 million to Nepal.    
Under this project, the 400 kV double circuit transmission line at Nanglebhare of Kathmandu district will link the New Butwal substation in Butwal through Ratmate of Nuwakot and Damauli of Tanahun. Similarly, under the project, another transmission line goes through Galchhi in Dhading district to Hetauda in Makawanpur district.    
All the preparedness for the project with a five-year completion deadline has moved forward, according to the MCA Nepal.
Similarly, the process of using the forest lands and the distribution of compensation for acquiring them as per the environment impact assessment report is underway. Land acquisition at Ratmate in Nuwakot has been completed. -- RSS

No comments yet. Be the first one to comment.