Nepal to export power to Bangladesh from July

Soon after signing a long-term power-trade deal with India, Nepal is preparing to export 40 MW electricity to Bangladesh from July this year, according to multiple sources.

Officials from Nepal, Bangladesh and India are working to finalize the modality of power export as soon as possible. During Prime Minister Pushpa Kamal Dahal’s New Delhi visit in May last year, India had agreed to allow Nepal to export 40 MW power to Bangladesh through its grid.

From July, Nepal will start exporting 40 MW to Bangladesh, which will pave the way for more cooperation in the coming days, said a diplomatic source. Now, three countries are working to finalize the tariff and other details to operationalize the agreement.

Nepal and Bangladesh are also working to construct a dedicated transmission line for the export of up to 5000 MW to Bangladesh. But there has been no tripartite agreement regarding the construction of a dedicated transmission line that passes through the Indian territory.  Private investors from Bangladesh are keen to invest in Nepal’s hydropower sector.

The signing of a long-term power trade agreement between Nepal and India has boosted the morale of both Indian and Bangladeshi investors, said the source. With the export of electricity to Bangladesh, the dreams of regional power trade will start materializing, said the government official. Recently, Nepal signed an agreement with India for the export of 10,000 MW over the next 10 years.