Kathmandu, Sept 14: An 18-kilometre 400 kV transmission line linking Nepal’s New Butwal substation to the Indian border has been completed in about nine months under the US-funded Millennium Challenge Corporation (MCC) programme.
The Millennium Challenge Account Nepal Development Committee, MCA Nepal, completed the project within the scheduled timeframe for US$12.8 million, or about Rs2 billion.
The line is expected to strengthen Nepal’s electricity grid and expand cross-border power connectivity. Ministry of Finance Secretary and MCA Nepal Board Chair Dr Ghanshyam Upadhyaya said the project would help expand Nepal’s cross-border energy network.
Nepal Electricity Authority Acting Executive Director Dirghayu Kumar Shrestha called the project an important achievement for the energy sector, particularly because it was completed on schedule.
The MCC programme includes 315 kilometres of transmission lines. With the New Butwal to India section completed, 297 kilometres remain. Construction is underway on the Lapsiphedi Ratmate New Hetauda, Ratmate New Damauli and New Damauli New Butwal sections. Three substations are also being built.
MCA Nepal Executive Director Khadga Bahadur Bisht said the transmission line would strengthen Nepal-India electricity connectivity and energy cooperation. MCC Resident Country Mission Director Diane Francisco said the progress showed that major infrastructure could be delivered within a short period when stakeholders worked toward a common goal.
The Nepal US MCC Compact has a total investment of US$747 million, including US$550 million from the United States and US$197 million from Nepal. The original US grant was US$500 million.
Nepal aims to export 10,000 MW of electricity over the next decade. Energy experts say stronger transmission infrastructure is needed to match rising power generation and support exports.
The MCC project faced intense political debate before Parliament approved it with a 12-point interpretive declaration. Despite the controversy, implementation has accelerated, with the new transmission lines and substations expected to improve grid reliability and strengthen Nepal’s role in regional electricity trade.
People’s News Monitoring Service
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