Nepal Has Started Export Of Surplus Electricity To India: MD Ghising

As the water level of the river increases, electricity exports to India starts

May 30, 2024, 1:36 p.m.

Kulman Ghising, Managing Director of NEA, said that electricity is currently being exported around 400 MW daily.

“With the rainy season is approaching, the flow of water in the rivers and streams gradually increased, and the electricity production from the hydropower plants within the country started to increase,” said MD Ghising.

After increase of electricity generation, the export of electricity to India has started. The Nepal Electricity Authority (NEA) has started selling the excess electricity consumed in the country on Monday (June 14 night) in the Indian Energy Exchange (IX) market at a competitive rate.

With the increase in the water flow in rivers and streams, the export of surplus electricity has been started after the internal demand has been met due to the increase in the electricity production of hydropower projects owned by the Authority, its subsidiary companies and the private sector.

“ We are exporting the electricity meeting the domestic consumption demand, which has reached 2000 MW during the peak period now. In the past 7/8 years ago, the daily electricity consumption was around one and a half million units. It has reached 10 million units”, said Managing Director Ghising.

"The export target of 1,000 to 1,200 MW of surplus electricity after meeting internal demand has been set according to the competitive market and bilateral agreements," he said, "We have sent a proposal to the Central Electricity Authority of India for the list of projects for export approval."

According to the bilateral agreement, Ghising mentioned that the proposal has been sent to the Central Electricity Authority of India for approval after signing an agreement with the Power Trade Company for the sale of about 200 MW of electricity to the state of Bihar and about 400 MW to the state of Haryana with NTPC Vidyut Vyar Nigam Ltd-NVVN.

The Central Electricity Authority has so far approved the export of 656 megawatts of electricity produced by 15 hydropower projects in Nepal to the competitive market.

From 656 MW, approval has been given to sell 110 MW of electricity to NVVN for five years from June to October every year according to the mid-term electricity agreement. NVVN has been selling the electricity to the state of Haryana. Nepal has also been allowed to buy and sell electricity in the electricity real time market.

Out of 656 MW, 586 MW is being exported from Dhalkebar-Muzaffarpur 400 KV international transmission line and 70 MW is being exported from Mahendranagar-Tanakpur 132 KV transmission line.

MD Ghising mentioned that there is some problem of power supply in the industries of Birgunj area as one circuit is being closed and wire (conductor) is being changed to expand the capacity of the 132 kV double circuit transmission line from Piluwa substation in Bara to Parwanipur substation.

To replace the current conductor of Piluwa-Parpanipur transmission line and make HTLS, one circuit is being closed and the work is being done now. Due to the supply from only one circuit, the demand from electricity is not being met and because it cannot be imported from India at night, there is some problem of electricity supply in the industries of Birgunj Corridor. will be over, then the current problem will be solved.

After replacing the conductors of both circuits, the current capacity of Piluwa-Parpanipur 132 KV transmission line, which can transmit about 200 megawatts of electricity, will be doubled. Electricity will also be exported to India from Parwanipur substation.

15 billion electricity import in winter

Nepal Electricity Authority has imported electricity worth 15.21 billion rupees from India to meet the domestic electricity demand during this year's winter season.

With the onset of the dry season, the flow of water in the rivers and streams will decrease and the production of electricity from the river-flowing hydropower plants in the country will decrease, so electricity has been imported from India to meet the demand. During this period, 1.81 billion units of electricity have been imported.

NEA has exported electricity worth Rs 15.62 billion to India from May last year to this year. Since July of the current financial year 2080/81, electricity worth 13.47 billion rupees has been exported. In the current financial year, the Authority has imported electricity worth 1.74 billion rupees more than exports. During this period, 1.49 billion units of electricity were exported.

The price of imported electricity is cheaper than that of exported electricity. The average price per unit of exported electricity is 9 rupees 2 paisa, while the average price per unit of imported electricity is 8 rupees 38 paisa.

``Until 6/7 years ago, we were only importers of electricity, although we started exporting electricity 2/3 years ago, the import was more than the export. We are still importers, but now from this year we have seen the situation of importers becoming exporters,'' said MD Ghising.

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