India to help Nepal build power plants

Thursday, 12 October 2006, 19:30 IST
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Kathmandu: India is to provide grant assistance to Nepal to build hydropower projects generating at least 240 megawatts of power, a newspaper report said on Thursday. The English language daily Kathmandu Post reported that a senior official of the Indian embassy here conveyed Delhi's willingness to Tika Dutta Niraula, Secretary in the Nepalese Water Resources Ministry. The newspaper said the Nepalese government was considering proposing the 240-megawatt Naumure project in western Nepal and also the 90-megawatt Kankai storage project in far eastern Nepal to India for the grant assistance. Naumure hydro-electric project in west Nepal would involve constructing 200-metre high dam and would cost over $420 million, according to an early 1990s estimate. The Kankai project in eastern Nepal would be capable of storing over 925 million cubic metres of water and have a 90-metre high dam. The estimates in the 1990s put the cost at over $150 million. The Kankai Multipurpose Project was originally set to be taken up with German assistance in the early 1980s. But, at the alleged objection of India, Germany diverted the funds to the Marsyangdi hydropower project in central Nepal. The Kathmandu Post said government officials were working on the two projects to submit them to the Indian embassy as early as possible. Nepal, which has a hydropower potential of about 84,000 megawatts, said to be the world's second highest, generates less 900 megawatts, leading to frequent power cuts across the country during the dry season.
Source: IANS