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Nepal energy sector needs Rs 390 billion for flood recovery

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KATHMANDU: Minister for Energy, Water Resources and Irrigation Deepak Khadka stated that Rs 390.62 billion is required to restore the energy sector damaged by recent floods in the Bhote Koshi and Trishuli river basins.

Addressing Parliament, the minister confirmed that 11 power plants have been forced to shut down due to the disaster.

According to the minister, seven hydropower projects and one solar plant, with a combined capacity of 275 megawatts, were operational before the floods but are currently offline.

Additionally, three projects totaling 135 megawatts are unable to export power due to transmission line damage, bringing the total loss to the national grid to 410 megawatts. Six under-construction projects with a capacity of 508 megawatts have also sustained damage.

Critical infrastructure, including the 220 kV Trishuli-3B Hub substation, has been completely destroyed. The Matatirtha-Chilime 220 kV hub remains obstructed. Minister Khadka noted that irrigation projects and river control structures also suffered damages estimated at Rs 4.94 billion.

Regarding human impact, over 800 people working at various projects remain missing, including 47 Nepal Electricity Authority (NEA) employees. The government has prioritized search and rescue operations and has distributed portable solar power systems to affected areas to provide immediate relief.

The government has decided to provide Rs 500,000 in immediate relief to the families of deceased employees, along with 50 percent of their monthly salary for six months.

Furthermore, electricity bills for affected customers will be waived starting from August, and damaged meters will be replaced free of charge. The ministry has also directed that future hydropower projects incorporate higher safety standards to mitigate risks from such extreme weather events.