KATHMANDU: Bangladesh has agreed to purchase electricity from Nepal. Bangladesh has decided to start a homework to sign Power Purchase Agreement (PPA) with the private sector.
Nepal had wasted 500-megawatt electricity during the monsoon season last year due to lack of market management. Nepal had suffered a loss of Rs 5 billion.
During a meeting with a Nepali delegation in Bangladesh, State Minister for the Ministry of Power, Energy, and Mineral Resources Nasrul Hamid said that Bangladesh will procure the electricity from next year.
“The electricity generated in Nepal is being wasted daily,” he said, adding, “We can buy the energy.”
Hamid said that the transmission line would be strengthened for the import of electricity from Nepal and construction of a dedicated line would also be started.
He said that Bangladesh would purchase 3,500-megawatt electricity by 2026.
The discussions with the private sector will start from January 22 and the works will be completed by March 2022.
“I will visit Nepal in March and will make the final decision,” he said.
The door to trilateral electricity trade has opened after India issued a working procedure on interstate energy trade in March 2021.
During the meeting, Confederation of Nepalese Industries President Bishnu Kumar Agrawal urged Hamid to allow the people of Bangladesh to invest in hydropower projects of Nepal.