Nepal has significant hydropower potential due to its geography but has developed only 600 MW of its estimated 40,000 MW potential. Hydropower currently provides most of Nepal's electricity but demand is growing and only 40% of the population has access. Nepal relies heavily on biomass like fuelwood, agricultural waste, and animal dung to meet its energy needs since electricity accounts for just 1% of total consumption. Expanding hydropower development could increase electricity access and dependency while reducing environmental impacts from other energy sources.