3 days ago
Nepal begins export of power to Bangladesh via Indian power grid
New Delhi: Nepal Electricity Authority has begun exporting 40MW to Bangladesh through the Indian power grid, marking the launch of a trilateral power cooperation in South Asia.
In November, the three countries inaugurated the power flow from Nepal to Bangladesh. This is the first trilateral power transaction carried out through the Indian grid.
Taking to social media platform X, Dipak Khadka, Nepal's minister for energy, water resources and irrigation, said: "We've begun exporting 40MW to Bangladesh via the India Grid, unlocking a 5000MW market, and 80MW to Bihar, marking Nepal's entry into the international energy market. This highlights our energy surplus and commitment to regional energy security."
The electricity is transmitted to Bangladesh through India's 400-kV Muzaffarpur-Baharampur-Bheramara transmission line.
In November last year, India's minister for power and housing & urban affairs Manohar Lal jointly inaugurated the power flow from Nepal to Bangladesh, alongwith Fouzul Kabir Khan, adviser, ministry of power, energy and mineral resources, government of Bangladesh, and Khadka, through a virtual event.
The Indian government had announced its decision to facilitate the first trilateral power transaction from Nepal to Bangladesh, through Indian grid with an export of up to 40MW of power during the visit of the former prime minister of Nepal, Pushpa Kamal Dahal 'Prachanda', to India in 2023 . During the visit, both sides had expressed their commitment towards greater sub-regional cooperation, including in the energy sector, which would lead to increased inter-linkages between the economies for mutual benefit of all stakeholders.
Subsequently, a tripartite power sales agreement between India's NTPC Vidyut Vyapar Nigam, Nepal Electricity Authority and Bangladesh Power Development Board was signed on 3 October 2024 in Kathmandu.
India has been making efforts to enhance regional power connectivity. It has bilateral connectivity with Nepal, Bhutan, Bangladesh and Myanmar, while talks are underway for grid connectivity with Sri Lanka. However, it is for the first time that the India grid would be used for passage of power between two other countries.
In April, Union power minister Manohar Lal reviewed key bilateral energy initiatives with Nepal during his visit to the neighbouring country aimed at enhancing regional connectivity and sustainable power development. He also reviewed the 900MW Arun-3 Hydroelectric Project in Nepal's Sankhuwasabha district being developed by India's state-run SJVN Ltd.
During the visit, a memorandum of understanding (MoU) was also signed between India's Power Grid Corporation and the Nepal Electricity Authority (NEA) for the development of the 400kV Inaruwa (Nepal)–New Purnea (India) and 400kV Dododhara (Nepal)–Bareilly (India) double-circuit transmission systems. These critical transmission links are expected to boost power exchange capabilities between the two countries, fostering energy security, grid stability, and economic growth across the region.
