Hydroelectricity Investment and Development Company Limited (HIDCL) and Power China signed Memorandum of Understanding 756 MW Tamor Storage Hydroelectric Project and 156 MW Madi Storage Hydroelectric Project.
Coinciding with and to commemorate the state visit of the President of the People’s Republic of China, Xi Jinping to Nepal, Hydroelectricity Investment and Development Company Limited (HIDCL) and Power Construction Corporation of China Limited(PowerChina) entered into two separate Memorandum of Understanding (MOU) for joint development of two Storage Hydropower Projects in Private Public Partnership model. The MoUs were signed on October 13, 2019.
Tamor Storage Hydropower Project (756 MW)
In March 2019, the Office of Investment Board of Nepal (OIBN) invited Expression of Interest for investment in Tamor Storage Hydropower Project from potential investors. In August 2019, OIBN invited shortlisted companies for Request for Proposals for development, operation, management, maintenance and transfer of Tamor Storage Hydropower project in a PPP model. The Board meeting of the Investment Board of Nepal on 11 October 2019 approved the selection of JV Powerchina and HIDCL as a developer for 756 MW Tamor Storage Hydroelectric Project following a competitive selection process. Under the first MOU, Powerchina and HIDCL have reconfirmed their commitment to developing 756 MW Tamor Storage Hydroelectric Project by forming a Special Purpose Vehicle Company.
Madi Storage Hydropower Project
Powerchina and HIDCL have signed second MoU to develop the 156 MW Madi Storage Hydropower Project jointly in a Public-Private Partnership model. The companies agreed to establish a Special Purpose Vehicle (SPV)to develop the project for electricity generation. The companies have agreed to conduct the technical studies jointly and develop the project further.
Following a competitive selection process, the Board meeting of the Investment Board of Nepal on 11 October 2019 approved selection of JV Power china and HIDCL for the development of 756 MW Tamor Storage Hydroelectric Project.
“METTA Services Family Congratulate all concerned on the signing of Memorandum of Understanding between Powerchina and HIDCL. We wish all the stakeholders the very best for smooth and early development of the Projects,” writes Prabin Shrestha in his facebook wall.
“It was coinciding with and to commemorate the historic state visit of the President of the People’s Republic of China, His Excellency President Xi Jinping to Nepal.”