Nepal and India are set to collaborate on the Phukot Karnali Hydropower Project, a semi-reservoir hydropower project with a capacity of 480 MW in the western part of Nepal. The project will be developed through a joint venture between India’s National Hydroelectric Power Corporation (NHPC) and Nepal’s Vidyut Utpadan Company Ltd (VUCL).
Cost and duration of the project
The estimated cost of the project is Rs 92 billion. The project is expected to be completed in five years from the start of the construction.
Electricity distribution
The surplus electricity from this hydroelectric project will be exported to India. Nepal will get 21.9% free energy monthly from the project.
Draft MOU
The draft Memorandum of Understanding (MOU) for this project proposes a 51:49 NHPC-VUCL joint venture.
Benefits of the project
The Phukot Karnali Hydropower Project will provide several benefits to both India and Nepal. It will help meet the growing energy demand of both countries and reduce their reliance on fossil fuels. The project will also create job opportunities for locals and contribute to the economic development of the region.
Environmental impact
The project is expected to have a minimal environmental impact as it is a semi-reservoir hydropower project, which means it will not require the construction of a large dam. The project will generate clean and renewable energy and help reduce greenhouse gas emissions.
Challenges and concerns
Despite the potential benefits of the project, there are some challenges and concerns that need to be addressed. One of the main challenges is the technical and financial feasibility of the project. The terrain of the project site is rugged and mountainous, which could make construction and maintenance difficult and expensive. Another concern is the potential impact of the project on the local communities and ecosystems. It is important to ensure that the project is developed in a socially and environmentally sustainable manner.
