The Department of Electricity Development (DoED) has invited expressions of interest (EOIs) from the private sector to develop five hydropower projects with a combined capacity of 248 megawatts. The projects will be executed under a Build-Operate-Transfer (BOT) model, and the department is seeking participation from qualified domestic hydropower companies or joint venture groups.
The department’s call for EOIs includes the 50.5 MW Beni Kaligandaki project, estimated to cost Rs 10 billion, located in Myagdi and Parbat districts; the 61.02 MW Humla Karnali project in Humla, with an estimated cost of Rs 16.77 billion; the 21.4 MW Inkhu Khola project in Solukhumbu, projected at Rs 4.6 billion; the 65 MW Kaligandaki Upper project in Myagdi, costing approximately R 21.78 billion; and the 49.5 MW Loti Kamali PROR project in Humla, expected to require an investment of Rs 12.45 billion.
Interested companies or joint ventures must submit EOIs to the department’s office in Sanogaucharan, Kathmandu, by 12 PM on July 16. The department said that the EOIs received will be opened on the same day at 1 PM.
DoED Director General Nabin Raj Singh stated that the projects are part of the department’s effort to develop the projects under the Public-Private Partnership (PPP) framework through competitive bidding. Companies submitting EOIs will be required to propose a quotation higher than the government’s previous investment in feasibility studies. Singh added that the department is focused on advancing medium- and large-scale hydropower projects in collaboration with private entities.
The evaluation process will assess proposals based on technical capacity (30%), financial strength (40%), and prior experience in project development (30%). Shortlisted applicants will be invited to submit detailed proposals, and the final selection will be based on the upfront fee offered.
Agreement to sell electricity to Arun III
In a separate development, India’s state-owned Satluj Jal Vidyut Nigam (SJVN) has signed a power purchase agreement (PPA) with Uttar Pradesh Power Corporation Limited (UPPCL) for electricity generated from Nepal’s 900 MW Arun III Hydropower Project. SJVN announced the agreement in a press release, which also confirmed similar deals for power from its 210 MW Luhri Stage-I and 382 MW Sunni Dam projects in Himachal Pradesh.
The latter two projects are expected to add 592 MW of renewable energy to India’s national grid, with a combined annual generation capacity of approximately 2.14 billion units. SJVN plans to bring both Indian projects into operation by December 2028. The Arun III project, being developed in Nepal’s Sankhuwasabha district by SJVN’s wholly owned subsidiary, SJVN Arun-3 Power Development Company, is also expected to be commissioned by 2028. In addition to the UPPCL deal, SJVN has also signed an agreement with the New Delhi Municipal Council for the sale of electricity from the Sunni Dam project.
