India to double power trade with Nepal

New Delhi: India is laying more power transmission lines to Nepal to more than double its 320 mega watt (MW) power sales to Kathmandu and will look at importing power from there after some of its ongoing hydel projects lead to surplus capacity, the power ministry said.

Adding transmission infrastructure in neighbouring countries like Bangladesh, Bhutan, Myanmar and Nepal is part of India’s efforts to increase cross-border electricity trade and energy security.

A power ministry statement said Power Grid Corp. of India Ltd had assisted Nepal in preparing its short-to-long term electricity plan and accordingly, a number of high-capacity cross-border lines are being drawn.

“Initially, these interconnections would be utilized to transfer power from India to Nepal and later with the development of hydro projects in Nepal, these links would be utilized for transferring surplus power from Nepal to India,” said the statement.

From 1 January 2017 India will supply an extra 80MW to Nepal through the Muzaffarpur-Dhalkebar transmission line, taking its total supply to 400 MW. Expected opening of substations in Dhalkebar will lead to increase in power transfer to Nepal initially by 150 MW and subsequently by 300-400 MW, said the statement. Earlier this month India notified guidelines for cross-border power trading.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.