Hydro Village and Hydroelectricity Investment and Development Company have signed an agreement for cooperation in the construction of hydropower project.

Hydroelectricity Investment and Development Company is to cooperate in the share of 57.3-megawatt Myagdikhola Hydropower Project to be constructed by Hydro Village.

Hydro Village Chairman Rameshwar Thapa and Hydroelectricity Investment and Development Company Chief Executive Officer (CEO) Arjun Kumar Gautam signed the agreement amidst a program in the Capital on Friday.

The HIDCL has a strategic partnership in 20 percent shares of the project

With this, the HIDCL will have 20 percent and Malaysian investors and Hydro Village will each have 40 percent shares of the project.

Gautam said that the commercial production will be started by constructing the project in the next 978 days.

Thanking the Hydroelectricity Investment and Development Company for the strategic partnership, Hydro Village Chairman Thapa expressed his commitment to complete the project in the stipulated time.

The project is located in Jeltingubagad Dhaulagiri Rural Municipality of Myagdi district.

The substation is at Dandakhet, 17 kilometers away from the powerhouse of the project.

Managing Director of the project Sushil Pokharel said that the electricity will be supplied to the substation from 132 KV double circuit.

He said that the electricity generated from the hydropower will be connected to the transmission line from Kaligandaki corridor through Raghughat.

The estimated cost of the project is Rs 10. 74 billion.

Pokharel said that the project would contribute to peace, security, health and expansion of road network in the village.