Rs 9 Billion Investment Secured for Mid Kaligandaki Hydel Project

Financial backing totaling Rs 9.12 billion has been secured for the Middle Kaligandaki Hydroelectric Project, marking a significant step forward in Nepal’s renewable energy sector. Led by Nabil Bank, six commercial banks have committed to funding the 66.3MW hydropower initiative spearheaded by IME Group’s Hydro Support.

Situated in the picturesque Kaligandaki River, the project will see the construction of a dam at Sukebagar in Annapurna-3, with the powerhouse strategically located in Annapurna-2. A key component of the project includes a 4,000-meter tunnel reaching a depth of 115 meters from the powerhouse to a pivotal four-way junction.

Chandra Prasad Dhakal, Project Chief and Chairman of IME Group, expressed readiness for the infrastructure phase under Nabil Bank’s leadership. Construction is slated to commence in 2024, with completion anticipated within four years.

Underpinning this ambitious endeavor, an agreement has been formalized with Nepal Electricity Authority (NEA), setting power purchase rates at Rs 8.40 per unit for winter and Rs 4.80 per unit for the rainy season. Forecasts predict revenue generation of Rs 1.33 billion annually, leveraging 130 GW during winter and 277 GW during the monsoon.