IBN approves investment worth Rs 167.57 bn

KATHMANDU: The 53rd Board meeting of the Investment Board Nepal led by the Prime Minister Pushpa Kamal Dahal held today has approved investment worth NPR 167.57 billion for five hydroelectric projects, includes NPR 146.2 billion Foreign Direct Investment (FDI) and NPR 21.37 billion domestic investment.

Along with providing approval for investment worth NPR 92.68 proposed by the developer of the 669 Lower Arun Hydroelectric Project, the Board decided to form a Project Development Agreement (PDA) negotiation committee led by the Chief Executive Officer (CEO) of the Investment Board Nepal and instructed to submit the document of consensus to the Board.

Likewise, other hydroelectric projects consist of 102 MW Upper Marsyangdi-1 (NPR 33.19 billion); 70 MW Dudhkoshi-2 Jaleshwor (NPR 20.35 billion); 70.3 MW Simbuwa Khola (NPR 13.44 billion) and 43 MW Upper Madi-0 (NPR 7.93 billion).

Among the aforesaid projects, Foreign Direct Investment (FDI) worth NPR 146.2 billion is approved for three hydroelectric projects, include Lower Arun, Dudhkoshi-2 (Jaleshwor) and Upper Marsyandi HEP) with total rated capacity of 841 MW shall be in the purview of the Investment Bord Nepal.

The Board has approved the Memorandums of Understanding (MoU) to be signed with DIAG Industries GmbH Germany to establish a chemical fertilizer plant and Dabur Nepal for capital increment to execute production capacity enhancement project in Nepal.

Similarly, the Board granted permission to Malaysia based reNIKOLA Holdings Sdn Bhd for conducting study on establishing Green Calcium Ammonium Nitrate (CAN) fertilizer plant in Nepal.

Moreover, the Board has noted the instincts of inception report of West Seti HEP submitted by NHPC Ltd., the government of India Enterprise and instructed to prepare the detailed project report (DPR) as prescribed in the MoU that was signed as per the decision of the Government of Nepal last year. In addition, the progress of Tamor Storage Hydroelectric Project, Logistics Projects and Vehicle Manufacturing Assembly Plant were presented to the Board.

Further, the Board endorsed the concept note of the Nepal Investment Summit (NIS) and authorised the OIBN to initiate necessary preparation for successful convening of the summit.

During the meeting, the Rt. Hon’ble instructed the concerned stakeholder for effective coordination and collaboration to deliver results. Citing a few barriers that are responsible for cost and time overrun in projects like, land acquisition and local benefit sharing among others; the Prime Minister urged for continued coordination and collaboration among concerned Ministries and agencies for the timely completion of projects.

In the meeting, IBN CEO, Mr. Sushil Bhatta delivered the comprehensive presentation covering wide range of issues concerned with project facilitation, progress on the decisions made by the previous board meeting Mr. Bhatta said that the OIBN is highly determined to deliver results in project development and facilitation as instructed by the Board.

Finance and vice chairperson of the IBN; Minister of Energy, Water Resources and Irrigation, Minister of Industry, Commerce and Supplies; Minister of Agriculture and Livestock Development; Minister of Land Management, Cooperatives and Poverty Alleviation; Vice Chairperson of the National Planning Commission; Chief Secretary of the Government of Nepal; Governor of Nepal Rastra Bank and expert members of the Board and other high ranking government officials were present in the meeting.