As a significant development, India is set to take over the West Seti Hydropower Project, nearly four years after China withdrew its support. This change comes as part of the ongoing strengthening of relations between India and Nepal.
West Seti Power Project: History and Significance
The West Seti Power Project is conceived to be a hydroelectric facility generating 750-megawatts of power while being situated on the Seti river in the far-western region of Nepal. This project has been under consideration for the past six decades without fruition. Recently, however, it was restructured as the West Seti and Seti River (SR-6), a joint storage initiative that can produce up to 1,200 megawatts of electricity annually.
Utilizing monsoon water accumulation, this project will generate power during peak hours in the dry season. It is expected that its successful realization will enhance India’s image in Nepal and possibly pave the way for further collaborations in hydropower projects.
India-Nepal Power Relations: A Look into the Past and Present
Despite having over 6,000 rivers and an estimated potential to generate 83,000 MW of power, Nepal has struggled with power shortages, producing only 900 MW against an installed capacity of nearly 2,000 MW. Although agreements like the Mahakali treaty of 1996 were put in place to address these issues, progress has been slow.
One of India’s success stories in the power sector with Nepal includes executing the 900-MW Arun Three project in eastern Nepal’s Sankhuwa Sabha. However, other initiatives, such as the Upper Karnali project, have been stalled for several years. This situation emphasizes the need for India to execute its projects in a timely manner to maintain faith.
Understanding the Diplomatic Ties Between India and Nepal
The diplomatic relationship between India and Nepal has been a roller coaster ride, marked by periods of harmony and discord. Following the economic blockade of 2015, relations improved under PM Deuba with a mutual decision to establish Fraternal Ties with India.
India-Nepal relations hold special importance owing to geographic, historical, cultural, and economic ties spanning centuries. Their shared religious beliefs, open borders, familial relationships, and similar cultural practices have added to their close-knit affiliation. However, the release of Nepal’s new political map claiming Kalapani, Limpiyadhura, and Lipulekh of Uttarakhand as part of its territory has strained these ties.
Looking Ahead
The progress of both India and Nepal in terms of power development is dependent on building trust and valuing each other’s resources. If the hydropower projects are multi-dimensional — including flood control, navigation, fisheries, irrigation, etc., — the cost of power could be significantly reduced, benefiting people on both sides.
Despite India’s increasing focus on renewable energy projects such as solar power, hydropower remains an important resource for managing peak demand. So, the power trade agreement must work towards building trust between India and Nepal. The West Seti Power Project is, therefore, an opportunity to redefine these relations while catering to the power needs of both nations.
