102 MW Upper Bhotekoshi Hydel project to begin electricity generation within a month

KATHMANDU: The 102 MW Middle Bhotekoshi Hydropower Project, currently under construction in Sindhupalchok, is set to begin generating electricity within a month. The project is being led by the subsidiary of Nepal Electricity Authority (NEA), Chilime Hydropower Company Limited, and is in its final phase of completion.

The transmission line connecting the project’s switchyard at Bahrabise Municipality-5 to the NEA’s substation in Bahrabise-3, a distance of approximately four kilometers, is nearing completion. With a two-kilometer stretch already agreed upon with local stakeholders, the process of installing cables is underway. The 220 kV single circuit transmission line is expected to be ready before the Dashain festival.

During a meeting held on August 30 (Bhadra 13, 2081 BS) between the Energy, Water Resources, and Irrigation Minister Dipak Khadka, Minister of State Purna Bahadur Tamang, MP Mohan Bahadur Basnet, NEA’s Executive Director Kulman Ghising, and other officials, an agreement was reached to resolve the construction issues that had delayed the project for over 14 months.

Construction of the dam has been completed, and water testing in the 7.124 km main tunnel was conducted in February 2024. Following repairs of water leakage in a 1,400-meter segment of the tunnel, cleaning operations are underway, with plans to refill the tunnel in 15 days.

The civil works at the power station are finished, and installation of electromechanical equipment is ongoing, with dry testing already completed. Once water begins flowing through the tunnel, wet testing of the equipment will commence. All remaining work is expected to be completed within a month to start electricity generation.

Minister of State Purna Bahadur Tamang, accompanied by NEA Executive Director Kulman Ghising and others, inspected the project site on Saturday and urged the management, consultants, and contractors to expedite the remaining tasks and ensure electricity generation begins within a month.

Once the Middle Bhotekoshi Hydropower Project starts generating electricity, the power will be used to charge the newly constructed 220/132 kV Bahrabise substation. Although a temporary alternative arrangement has been made for power transmission, the project’s electricity will be integrated into the national grid through the Lamosanghu substation once the Khimti-Bahrabise or Bahrabise-Kathmandu transmission lines are completed.

The project has faced several challenges, including the 2014 Jure landslide, the 2015 earthquake, border blockades, floods in the Bhotekoshi River, the COVID-19 pandemic, and delays caused by poor contractor performance.

The project’s original cost estimate was Rs 12.28 billion, excluding interest during construction. However, the updated cost is now Rs 16 billion. The project is financed with a 50% equity contribution and 50% loan, with institutional shareholders including NEA, Chilime Hydropower, and several local hydropower companies.

Once operational, the Middle Bhotekoshi project will generate 540 million units of electricity annually. NEA will purchase the electricity at Rs 8.40 per unit in the winter and Rs 4.80 per unit during the rainy season, generating annual revenue of Rs 2.8 billion for the company.