covers content related to Hydropower Potential, History, Challanges, Possibilities and New Trend of Development in Nepal

1. HYDROPOWER POTENTIAL IN NEPAL, HISTORY,
CHALLENGES, POSSIBILITY AND NEW TREND IN
HYDROPOWER DEVELOPMENT

2. OUTLINE OF THE PRESENTATION
- Hydropower potential in Nepal
- Its history
- Its challenges
- Its possibilities
- New trend of hydropower development

3. HYDROPOWER POTENTIAL OF NEPAL
- Second richest country in water resources
- 83000 MW ( based on 1966 PhD. of Dr. Hari Man Shrestha)
- More scientific study shows 53000 MW ( Professor Narendra Man
Shakya)
- Economically and technically feasible is 43000 MW ( National Planning
Commission 1985)

4. HISTORY OF HYDROPOWER DEVELOPMENT
- Pharping Hydrpower Plant is oldest hydropower plant of Asia and first
hydropower plant of Nepal
( Established in 1911 )
- Ironically we have lagged behind in hydropower generation ever since
- Faced the problem of loadshedding for long duration
- Consumption has always been higher than production rate

5. CHALLANGES FOR HYDROPOWER DEVELOPMENT
- Political constraints
- Technical constraints
- Financial constraints
- Policy constraints
- Climate change

6. POLITICAL CONSTRAINTS
- Lack of political will and political instability
- Natural resources and revenue sharing with India
- State reconstruction made the progress works more slower recently

7. TECHNICAL CONSTRAINTS
- Related to geographical, hydrological and topographical setting of country
- Lack of long term hydrological and sediment logical data
- Lack of specialized manpower
- Insufficient capacity of existing and planned cross border transmission lines

8. FINANCIAL CONSTRAINTS
- Big hydropower projects need huge investments
- The domestic investment is not sufficient and Foreign Direct Investment
(FDI) is lagging owing to several reasons
- Pricing issue of electricity

9. POLICY CONSTRAINTS
- Issue of license and institutional constraints
- Monopoly of NEA over transmission and distribution sector
- Overlapping responsibilities among government ministries and departments
- Inconsistency among various hydropower development policies

10. CLIMATE CHANGE
- Run off variability
- Glacial lake outburst flood
- Sediment and evaporation loss

11. POSSIBILITIES OF HYDROPOWER PRODUCTION
- Blessed with water resources
- Can totally meet its energy demand through hydroelectricity production if
resources are properly used
- Recent local participation in investment for hydropower generation is a good
sign for its development
- When the whole world is running towards clean energy generation, hydro
resources can be best for Nepal

12. NEW TREND OF HYDROPOWER DEVELOPMENT
- Some big hydropower projects are under construction
- Some are nearer to completion phase
- Recently in 2017, 115 MW of hydropower production was increased in our
country
(International Hydropower Association | 2017 Hydropower Status Report)
The Draft Electricity Act- 2065 has stipulations that no license is required for up
to 3 MW capacity.
This creates a positive environment for the development of small hydro.

14. Development in micro hydropower generation in villages have :
- Changed the night landscape
- Streets are illuminated
- Silence in evenings is filled with news broadcast
- Reading in evening has become easier to students
- Small scale industries are established helping eradicate the unemployment
problem

15. Despite long history of hydropower development, there still persists various
hurdles and drawback in hydropower sector.
It seems that Nepal’s hydro-bureaucracy is slow to understand the right thing to
do.

16. It took about 20 years for the hydro-bureaucracy of the Nepal Government
to understand that private sector is not capable to develop sufficient hydropower
projects to satisfy the demand; and the public sector must play a substantial and
major role for implementation of hydropower projects.
Similarly, after more than 20 years Nepal’s hydro-bureaucracy has yet to
understand the reality that Indian Power market is not open to Nepal, especially
if it is developed by other than the Indian companies.

17. It has been announced a People’s Hydropower for constructing upto 25 MW
hydro project by District Development Committee (DDC) and local institutions.
Hydropower development in Nepal is a difficult Task. For example, Khudi HEP
4MW developed by the top Hydro Developer of Nepal is loss making project.
Similarly, 5 MW Mailung Khola HEP is promoted by the hydro power
Engineers/professionals who have spent their life time in hydro projects also
suffered loss.

18. With all ups and downs the hydropower generation in Nepal is in
developing phase.
No doubt that Nepal is rich in water resources and we must grab it all
for our long term prosperity and BRIGHTER NEPAL.

19. THANK YOU ALL !!!
Hari Bhusal
071/BEL/018
IOE, Purwanchal Campus, Dharan