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Price of exported electricity more than imported from India

2022 Jun 16, 12:52, Kathmandu
This undated image shows the office of Nepal Electricity Authority in Ratnapark, Kathmandu.

The Nepal Electricity Authority (NEA)  says that the rate of electricity currently being sold in India is more than that imported from India to meet the demand for electricity this winter.

The average rate of electricity imported by NEA in winter is Rs 9.07 per unit. NEA has so far exported electricity to India at an average rate of Rs 11.38 per unit.

Replying to a question in Parliament on Wednesday, Minister for Energy, Water Resources and Irrigation Pampha Bhusal said that the current export rate was more than the import rate.

During the monsoon season, the country is forced to import electricity from India. The electricity that Nepal buys in the dry season is mainly procured from three markets.

First, a short-term bilateral agreement has been signed with India to import electricity during the dry season. The purchase rate of electricity imported in this way is RS 6.65 paisa per unit.

Secondly, it is imported from the Indian state of Bihar at the rate of Rs 9.89 per unit only when needed and Nepal has been exporting more electricity to Bihar at the same price.

The third is imported daily from the competitive market of India through bidding.

Nepal is currently exporting 364 MW of electricity to India in the competitive market at an average of 100 to 120 million per day. The NEA has projected that in the coming fiscal year, additional electricity worth about 15 to 20 billion can be exported. Minister Bhusal said that there is a possibility of exporting more than 70 billion worth of electricity every year in the next five years.

The private sector, which has been making significant contribution in the field of power generation, has been given the opportunity to trade in Nepal for export of electricity.


Nepal Electricity Authority rate of electricity Electricity import Minister for Energy Water Resources and Irrigation Pampha Bhusal
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