KATHMANDU: Experts have emphasized the need for greater openness and collaboration between the government and the private sector to ensure the comprehensive development of Nepal’s energy sector. Speaking at the 25th anniversary of the Independent Power Producers’ Association, Nepal (IPPAN), during a technical session titled *”Driving Economic and Social Transformation Through Energy,”* they highlighted the critical role of mutual transparency in achieving this goal.
Private Sector’s Contributions to Energy and Development
Bharat Bahadur Khatri, Vice President of IPPAN, stated that private energy producers have contributed significantly by generating over 2,600 MW of electricity, helping Nepal move past its dark days of power shortages. He also shared data showcasing how private sector initiatives have supported national development, including constructing 3,500 km of roads, 2 km of road tunnels, 1,100 km of tunnels, 150 health centers, 220 suspension bridges, 52 irrigation projects, 35 ambulances, and funding 230 teachers in schools.
Need for Policy Alignment and Household Energy Consumption
Economist Dr. Govinda Nepal pointed out the increasing electricity consumption in various development sectors while highlighting the lack of adequate consumption at the household level. He suggested implementing plans to boost household electricity usage.
Dr. Nepal also shared findings from a study conducted during the load-shedding era, which revealed significant economic losses across various sectors due to a 20% energy supply deficit. For instance, the service sector declined by 4%, transport and communication by 6.6%, construction by 32.4%, and manufacturing by 8.4%. He stressed the need for collective efforts to achieve the ambitious target of generating 28,500 MW of electricity.
Energy Roadmap and Inclusion Concerns
Dr. Sangeeta Singh, a former member of the National Planning Commission, noted the increasing energy demand in the information technology sector. However, she raised concerns about the lack of focus on gender inclusion and diversity in Nepal’s energy development roadmap. She also emphasized incorporating climate change perspectives into the implementation of the roadmap.
Historical Challenges and Opportunities
Former Finance Minister Surendra Pandey recalled the 17-hour load-shedding during his tenure and the limited 120 MW transmission capacity at the time. He mentioned initiatives such as advancing the Dhalkebar-Muzaffarpur transmission line and accelerating the Upper Tamakoshi project. Pandey highlighted electricity and tourism as Nepal’s most significant resources and stressed the need for foreign investment to meet the 28,500 MW target.
Parliamentary and Committee Insights
Dr. Swarnim Waglé, a member of the House of Representatives, supported the feasibility of the government’s energy roadmap, which envisions producing 28,500 MW of electricity. He noted that domestic consumption is also increasing, with a target of 13,500 MW for internal use, and stressed the importance of green energy and foreign investment.
Deepak Singh, Chair of the Infrastructure Development Committee, commended the private sector for producing 75% more electricity than the government, contributing to both domestic consumption and exports. He assured stakeholders that the ongoing discussions on the Electricity Act in the committee would result in a private-sector-friendly law.