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While the prospect of electricity exports has lured many people to invest in hydropower projects and shares of power companies in recent years, the third-quarter financial reports of hydropower companies show power producers are facing the heat of higher interest rates and a decline in power generation. Of the five dozen hydropower companies that have published their financial reports, two dozen have reported losses in the third quarter of the current fiscal year 2022/23. As of Wednesday, 64 hydropower companies have published their financial statements. Of them, 25 have reported losses, 28 reported decline in profits, and only 11 reported growth in profits in the review period. The financial statements show 38 hydropower companies have reported earning profit in the current fiscal year. Among the companies, Chilime Hydropower Company stood at the top with a profit of Rs 528.9m. Chilime Hydropower, a subsidiary of Nepal Electricity Authority saw its profit increase by only 1.33 percent in this fiscal. While the Sanima Mai Hydropower Company recorded a profit of Rs 358.2m, its profit has decreased by 20.4 percent. Universal Power Company Limited recorded the highest growth in profit with a growth of 409.47 percent. The company posted a profit of Rs 68.06m in the third quarter of the current fiscal year, up from Rs 13.35m in the last fiscal year. In the review period, the state-owned Upper Tamakoshi Hydropower Company incurred the biggest loss. The company which is operating the 456 MW Upper Tamakoshi Hydroelectric Project has recorded a loss of Rs 2.33bn compared to a loss of Rs 1.65bn in the corresponding period of the last fiscal year. The private sector-run Shiv Shree Hydropower is the second largest loss-making hydropower company with a loss of Rs 237.93m. The company's loss in this fiscal is lower than that of the last fiscal. Balefi Hydropower Company is third on the list with a loss of Rs 237.2m compared to Rs 0.6m in the third quarter of the last fiscal year. Independent power developers said that hydropower companies are either in losses or their profit has declined mainly due to two reasons—banks’ higher interest rates and a decline in their income due to low power generation. According to them, the surge in the borrowing rates has hit the companies hard. As the majority of power producers had to pay higher interest rates for the loans in the current fiscal year, their profitability has been affected. “Hydropower companies that were paying 8-10 percent interest earlier, were forced to pay up to 14-15 percent interest,” said Krishna Prasad Acharya, president of the Independent Power Producers' Association Nepal (IPPAN). In addition to this, the electricity generation of major hydroelectric projects has also decreased more this winter compared to the last winter due to the prolonged dry season and a decrease in water levels in the rivers. The majority of hydropower plants in Nepal are run-of-the-river type hydropower projects that usually produce less than 40 percent of their installed capacity as water levels in the rivers decrease significantly during the dry season. “The profits have been affected due to the decline in power generation,” said Acharya. Companies whose profit has increased

Company	Profit (in Rs, in m)	Change (in percent)
Chilime Hydropower	528.98	1.33
Butwal Power Company	268.19	12.88
Radhi Bidyut Company	86.4	83.41
Himalayan Hydropower	85.71	233.37
Universal Power Company	68.06	409.47
Sagarmatha Jalbidyut Company	45.46	26.19
Nepal Hydro Developers	35.58	24.04
Shuvam Power Limited	5.06	170.03
Dordi Khola Hydropower Company	15.38	8.23
Rapti Hydro	1.27	0.17
Ngadi Group Power Limited	49.94	192.66

  Companies whose profit has decreased

Company	Profit (in Rs, in m)	Change (in percent)
Sanima Mai Hydropower	358.23	-20.4
Sahas Urja Limited	265.13	-54.39
Mountain Energy Nepal	263.43	-38.3
Arun Kabeli Power	143.57	-35.99
Panchthar Power Company	86.06	-38.13
Mountain Hydro Nepal	78.55	-31.56
Ruru Jalbidhyut	66.8	-17.4
Arun Valley Hydropower	64.46	-35.51
Bindhyabasini Hydropower	64.15	-47.57
Kalika Power Company	60.51	-11.57
Sikles Hydropower	59.65	-5
Api Power	50.3	-71.07
Ngadi Group Power	49.94	-8.316
Super Mai Hydropower	48.35	-41.19
United Idi-Mardi and RB Hydropower	24.5	-53.56
Upper Hewakhola Hydropower	23.06	-50.25
Synergy Power Development Limited	22.83	-40.9
Union Hydropower	17.25	-32.5
Barun Hydropower	14.21	-40.2
Mandakini Hydropower	13.97	-59.53
Pancha Kanya Mai Hydropower	11.51	-74.69
Upper Solu Hydro Electric Company	10.81	-78.98
United Modi Hydropower	10.33	-62.34
Mailung Khola Jal Vidhyut Company	9.31	-20.75
Ankhukhola Hydropower Company	8.65	-71.58
Sayapatri Hydropower Limited	7.74	-65.98
Ridi Power Limited	4.48	-99.07
Khani Khola Hydropower Company	4.11	-80.44

    Companies in losses 

Company	Loss (in Rs, in m)
Rasuwagadhi Hydropower Company	0.04
Chhyangdi Hydropower Company	3.6
River Falls Power Limited	8.76
Samling Power Company	8.59
Barahi Hydropower	9.64
Super Madi Hydropower	10.76
Maya Khola Hydropower Company	13.27
Ghalemdi Hydro Limited	15.52
Sanjen Jalavidhyut Company	17.73
National Hydro Power Company Limited	22.9
Dibyashwari Hydropower Company	23.4
Asian Hydropower Limited	25.04
Molung Hydropower Company	26.5
Terhathum Power Company	27.8
Himalaya Urja Bikas Company	45.09
Madhya Bhotekoshi Jalavidyut Company	48.39
Swet-Ganga Hydropower	59.7
Sanima Middle Tamor Hydropower	59.72
Liberty Energy Company	79.98
Singati Hydro Energy Limited	93.01
Himalayan Power Partner Limited	104.3
Nyadi Hydropower Limited	158.97
Balephi Hydropower Limited	237.21
Shiva Shree Hydropower	237.93
Upper Tamakoshi Hydropower	2023.41

 

Nepali Ambassador to India Shankar Prasad Sharma held a meeting with External Affairs Minister of India S Jaishankar on Thursday. During the meeting, the duo discussed Prime Minister Pushpa Kamal Dahal’s upcoming visit to India, it has been learnt. Though the formal announcement of the visit is yet to be made, a source said that Prime Minister Dhal will leave for India on a three-day visit on May 31. A source at the Nepali Embassy in New Delhi said that Ambassador Sharma and Minister Jaishankar held a discussion to make Prime Minister Dahal’s India visit fruitful. Ambassador Sharma informed through Twitter that he held a meeting with External Affairs Minister of India Jaishankar. He said that they discussed making the ties between Nepal and India even stronger on the occasion.    

Signing a long-term intergovernmental agreement on energy trade, starting the development of a number of transmission line projects, and inking a joint venture agreement to develop hydropower projects in Nepal will be top agenda of the energy sector for Prime Minister Pushpa Kamal Dahal’s upcoming visit to India. While the formal announcement of the visit is yet to be made, government officials said the prime minister will leave for India on May 31 for a three-day visit. Government officials involved in the preparation of the visit said that energy sector cooperation between the two countries will dominate the list of agendas of the visit. With Nepal on a path to producing surplus energy soon, the government is seeking greater cooperation with India in the energy sector as the southern neighbor is prioritizing moving to clean energy sources from a feasible fuel-dominated energy market. “We have sent a proposal to sign a 25-year intergovernmental agreement on power sale of Nepal to India,” said a senior official at the Ministry of Energy, Water Resources and Irrigation. “No conclusion has been reached as talks are undergoing. Such an agreement is essential to ensure long-term access to the Indian market for Nepal’s power.” Nepal had proposed such a deal during the 10th secretary-level meeting of the Joint Steering Committee on Energy Cooperation in India in late February this year. India had asked Nepal for a formal proposal Currently, Nepal is required to renew the approval from the Indian authority every year which has created uncertainty about whether the southern neighbor would allow the export of electricity from certain projects. As per the Power Trade Agreement signed in 2014, the inter-government agreement removes the requirement of taking approval frequently. An agreement could be signed between Nepal Electricity Authority (NEA) and India's Madhyanchal Vidyut Vitaran Nigam Ltd (MVVNL) for the sale of Nepal’s 200 to 500 MW under a five- or seven-year agreement, according to an NEA official. “We have got a proposal from the MVVNL,” said an NEA official. The official said that there is also a plan to sign a memorandum of understanding between Nepali and Indian company NHPC Limited to develop the 480 MW Phukot Karnali Hydropower Project. Vidyut Utpadan Company Limited (VUCL) and NHPC Limited, the two state-owned companies of Nepal and India respectively, have decided to develop this project in Kalikot district. VUCL has already sent a draft of the MoU for project development to the Cabinet for approval. NHPC has been awarded the 750 MW West Seti Hydropower Project along with the 450MW Seti River-6 Project. In April, the Investment Board Nepal had asked the Indian company to prepare a detailed project report on these two projects. Likewise, the southern neighbor is also likely to approve Nepal’s proposal to allow the export of 40 MW of electricity to Bangladesh through the existing Indian transmission infrastructure. The NEA has sent a request to the Indian authorities to allow the sale of the power generated by the 52.4 MW Likhu-4 Project to Bangladesh through India’s existing transmission infrastructure. Officials said before the export takes place, a trilateral agreement needs to be signed between the NEA, the Bangladesh Power Development Board, and the NTPC Vidyut Vyapar Nigam Limited. “A draft of the agreement has been prepared and discussions are undergoing. Once a tripartite agreement is signed, it will pave the way for exports of Nepal’s power to Bangladesh.” According to officials, there is a plan to lay a foundation stone to construct the Butwal-Gorakhpur cross-border transmission line. The two prime ministers are expected to lay the foundation stone indicating the start of the construction of the project. A joint venture company established by the NEA and the Power Grid Corporation of India will be undertaking the transmission project on the Indian side. “The contract for the construction of the transmission line has already been awarded while the company has invited tender for the construction of the substation,” said the NEA official. Likewise, there is also the plan to inaugurate the New Modi-Lekhnath Transmission Line as the construction of the project was done with the aid of the Export-Import Bank of India. There is also a plan to inaugurate a second circuit of the Kataiya-Kusaha cross-border transmission line whose construction has been completed, according to the NEA official.

Despite the gradual decline in lending rates of banks and financial institutions (BFIs), there has been no growth in the demand for loans. With the liquidity situation improving significantly in the last couple of months, BFIs are flushed with investable capital, but bankers say demand for loans has remained subdued. The Nepal Bankers’ Association (NBA) data shows that the demand for loans is very low. According to NBA, commercial banks have added Rs 300bn in deposits in the 10 months of the current fiscal year. However, only Rs 123bn has been disbursed in loans during this period. According to NBA, the lending of commercial banks declined by Rs 10.76bn in the month of Baisakh (mid-April to mid-May). The country’s banking system which grappled with a prolonged liquidity crunch and shortage of loanable funds till mid-January is now flushed with liquidity. With the liquidity position becoming comfortable, banks have been gradually slashing their interest rates. As of mid-May, 2023, the deposits of commercial banks amounted to Rs 4,840bn, while loans totaled Rs 4,299bn. As per central bank regulatory norms, banks can disburse 90 percent of their deposits in loans. Banks have to maintain the credit-to-deposit ratio (CD ratio) at 90 percent. Bankers say commercial banks are now in a situation to give loans of around Rs 200bn. As there is no demand for loans currently, the CD ratio of commercial banks has been continuously decreasing. The CD ratio which was 88.07 percent in mid-July, 2022, has fallen to 84.88 percent in mid-May, 2023. According to them, the private sector has not sought bank loans with the deepening economic downturn. NBA data shows commercial banks' credit to the private sector increased by 3.4 percent in the third quarter of this fiscal compared to 13.1 percent. “The demands for loans have remained subdued due to the state of the economy and businesses,” said Nischal Raj Pandey, CEO of Sanima Bank, “While the banks have started reducing interest rates, businesspersons are not showing interest to borrow money.” According to Everest Bank CEO Sudesh Khaling, the decline in interest rates cannot improve the demand for loans. “There must be an improvement in the overall business environment for people to come to banks to borrow money,” said Khaling. Bankers say the other reason behind the sluggish lending is banks have become more cautious in loan disbursement due to a sharp rise in non-performing loans (NPLs). The NPL of commercial banks stood at 3.03 percent till mid-April, 2023.

The price of gold has dropped by Rs 1, 000 per tola in the domestic market on Thursday. According to the Federation of Nepal Gold and Silver Dealers’ Association, the yellow bullion is being traded at Rs 108, 800 per tola today. The yellow metal was traded at Rs 109, 800 per tola on Wednesday. Meanwhile, tejabi gold is being traded at Rs 108, 300 per tola. It was traded at Rs 109, 300. Similarly, the silver is being traded at Rs 1,360 per tola today.

Four persons died and 10 others were injured when a jeep they were travelling in met with an accident at Dulima in Banphikot-8, Rukum West on Thursday. According to Dhan Bahadur Khatri, Chairman of Banphikot-8, the deceased have been identified as Karna Batha and Deuchan Khatri of Sanibheri Rural Municipality-5 and Rekha Khatri and her son of Banphikot-8. Among the injured, four are in critical condition, Chairman Khatri said. Nawaraj Bhattarai, Chief at the District Police Office said that the jeep (Ju 1 Cha 1747) was heading towards Musikot from Gheudhunga of Sanibheri-3 when the tragedy occurred. Police said that they are looking into the incident.  

Tina Turner, the pioneering rock’n’roll star who became a pop behemoth in the 1980s, has died aged 83 after a long illness, The Guardian reported.

She had suffered ill health in recent years, being diagnosed with intestinal cancer in 2016 and having a kidney transplant in 2017.

Turner affirmed and amplified Black women’s formative stake in rock’n’roll, defining that era of music to the extent that Mick Jagger admitted to taking inspiration from her high-kicking, energetic live performances for his stage persona.

After two decades of working with her abusive husband, Ike Turner, she struck out alone and – after a few false starts – became one of the defining pop icons of the 1980s with the album Private Dancer. Her life was chronicled in three memoirs, a biopic, a jukebox musical, and in 2021, the acclaimed documentary film, Tina. 

In a statement on Wednesday night, her publicist Bernard Doherty said: “Tina Turner, the ‘Queen of Rock’n Roll’ has died peacefully today at the age of 83 after a long illness in her home in Kusnacht near Zurich, Switzerland. With her, the world loses a music legend and a role model.”

Turner was born Anna Mae Bullock on 26 November 1939 and raised in Nutbush, Tennessee, where she recalled picking cotton with her family as a child. She sang in the tiny town’s church choir, and as a teenager talked – or rather, sang – her way into Ike’s band in St Louis: he had declined her request to join until he heard her seize the microphone during a Kings of Rhythm performance for a rendition of BB King’s You Know I Love You, according to The Guardian.

After her vocal talents became apparent, Ike gave her the name Tina Turner – and trademarked it in case she left him and he wanted to replace her in his act. He quickly became abusive: when Turner tried to leave the group early on after having got a sense of his mercurial character, he hit her with a wooden shoe stretcher.

She made her recorded debut under the name with the Ike and Tina Turner single A Fool in Love in July 1960, which broke the US Top 30 and started a run of respectable chart success. But it was their live performances that made them a sensation. Ike toured the Ike and Tina Turner Revue aggressively on the Chitlin’ Circuit – including in front of desegregated audiences, such was their commercial power. In 1964, they signed to Warner Bros imprint Loma Records, which released their first album to chart: Live! The Ike & Tina Turner Show.

In the second half of the 60s, the duo were courted by many of rock’s biggest names. Phil Spector produced the 1966 single River Deep – Mountain High; they supported the Rolling Stones in the UK and later the US, and stars including David Bowie, Sly Stone, Cher, Elvis Presley and Elton John came to their Las Vegas residency.

They were a chart-making, Grammy-winning force in the 1970s – a run that came to an end when Turner left Ike, who had been consistently violent and unfaithful, in 1976. Her last single with the group was Baby, Get It On, from the 1975 film adaptation of the Who’s rock opera Tommy, in which she starred as Acid Queen, a character of the same name of her second solo album, The Guardian reported.

In the divorce, finalised in 1978, Turner came away with just two cars and the rights to her stage name. “Ike fought a little bit because he knew what I would do with it,” she said in the documentary Tina.

Turner, who had already released two solo records, continued pursuing a solo career, though it would take until she released her fifth album, 1984’s Private Dancer, for her to supplant the old image of the shimmying rock’n’roller – and escape premature relegation to the oldies circuit – with one of a powerful, mullet-sporting, leather-clad pop icon.

Despite the political instability which has resulted in frequent government changes, there has been a remarkable development in Nepal’s defense and security sector, according to a report prepared by the Office of the Prime Minister and Council of Ministers. The annual progress report of the government outlines significant achievements and initiatives undertaken by various government branches, bolstering Nepal’s commitment to ensuring safety and well-being of its citizens and safeguarding its borders. One of the key highlights is the progress made in the establishment of the National Defense University to be operated by the Nepali Army (NA). The detailed project report (DPR) of the institution has been reviewed by the National Defense University Infrastructure Development Committee, bringing the NA one step closer to setting up the proposed university. The report also states that in a bid to strengthen border security, Nepal added three new border outposts (BOPs) along its border with India and one along the Nepal-China border during the fiscal year 2021/22. With this expansion, the total number of BOPs has reached 228. Likewise, for ensuring the safety of its citizens and enhancing surveillance capabilities, the government installed closed-circuit television (CCTV) systems at 42 strategic locations across 12 Tarai districts. The control rooms for these CCTV systems have been established at the Nepal Police and Armed Police Force (APF) headquarters. The NA also undertook several modernization initiatives in the fiscal year 2021/22. It successfully trained 10 personnel for the Payload Drop Quadcopter Project and developed a prototype quadcopter, the report says. Additionally, the NA partnered with the National Innovation Center to convert one of its fossil fuel cars into an electric vehicle as a pilot program. If the project succeeds, the Army plans to implement it on a broader scale. Striving for self-reliance in military hardware, the NA also commenced the local production of 5.56 mm ammunition, a significant step toward reducing dependence on foreign imports. The Army also increased its capacity to manufacture explosives required for military and construction purposes. Similarly, the NA’s air operations played a vital role throughout the year, with a total of 832 flights conducted from its central and western air bases. These flights encompassed a range of activities, including operations, training exercises, rescue missions, charter services, and support for government events. Additionally, the Army built 140 structures, improving facilities for its personnel, as part of its ‘from bunker to barracks’ program. The Nepal Police also made commendable progress in enhancing its capabilities. The Cyber Bureau received significant upgrades, bolstering its ability to counter digital threats. To further enhance security in Kathmandu, 145 CCTV systems were installed. The police force also procured two kennel-fitted vehicles to ensure smooth movement of police dogs for law enforcement purposes. To streamline data management and investigation techniques, the police acquired the National Crime Information Center software and trained 445 personnel to operate the software. Likewise, an additional 111 personnel received specialized technical investigation and analysis training. The police force also expanded its automated fingerprint enrolment stations to 45 units for collection of fingerprints from crime suspects. The Armed Police Force (APF) also contributed significantly to anti-narcotics efforts, seizing three tons of marijuana, 35 kg of hashish, 371 grams of brown sugar, and various other narcotics during the review period. The APF has stationed rescue squads with 56 trained divers, boats and relief materials in all seven provinces and Kathmandu Valley to respond effectively to monsoon-related disasters. The Department of Immigration has also started preparations to digitize its system in line with technological advancements. It has prepared a concept paper to implement e-gates, an automatic biometrics identification system, and enrolment system. Furthermore, preparations are underway to introduce an e-Visa system.