Publish: 16:55, 15 Jun, 2025

Nepal resumes 40MW electricity export to Bangladesh after LC delay

Online Desk
Nepal resumes 40MW electricity export to Bangladesh after LC delay

Nepal has resumed the export of 40 megawatts (MW) of electricity to Bangladesh through India's transmission network, following a brief delay caused by Bangladesh’s late issuance of a letter of credit (LC), officials confirmed on Sunday.

The export restarted at midnight on Saturday under a tripartite agreement signed last year by Nepal, India, and Bangladesh, which allows electricity trade during the monsoon months from June 15 to November 15 each year.

“We started exporting 40 MW from Saturday night,” said Nepal Electricity Authority (NEA) Executive Director Hitendra Dev Shakya. The NEA had earlier raised concerns after Bangladesh’s delay in opening the LC cast doubt over the planned schedule.

The tripartite framework was officially inaugurated on November 15, 2024, by Nepal’s Energy Minister Deepak Khadka, India’s Power Minister Manohar Lal, and Bangladesh’s energy advisor Muhammad Fouzul Kabir Khan. However, due to procedural setbacks, electricity was exported for only 12 hours on that day.

Under the agreement, electricity is transmitted from Nepal’s Trishuli (18.60 MW) and Chilime (21.40 MW) hydropower plants via the Dhalkebar–Muzaffarpur 400kV line into India, and then onward through the Berhampur–Bheramara line into Bangladesh.

NEA has signed a five-year deal to export the electricity at a rate of 6.40 cents per unit, with deliveries to continue until October 2, 2029. While Nepal covers technical losses up to the Muzaffarpur substation in India, all downstream costs and trading margins are borne by Bangladesh.

NEA spokesperson Rajan Dhakal stated that the Bangladesh Power Development Board (BPDB) has assured payment of last year’s dues—amounting to $30,080 from the initial 470,000 units exported—along with future transactions.

The successful resumption signals growing regional cooperation in clean energy trade, marking Nepal’s increasing role as a renewable power exporter beyond its borders.

Source: Kathmandu Post

Bd-pratidin English/ Jisan

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