India leads Nepal's hydropower - Current Affairs

1. What is the current scenario of India's involvement in Nepal's hydropower development? Answer: India has taken the lead in Nepal's hydropower development and trade by pushing for connectivity, especially in the hydropower sector, in the past few years.

2. Which Indian company is developing the 900 MW Arun III hydropower project in Nepal? Answer: The 900 MW Arun III project is being developed by a subsidiary of Satluj Jal Vidyut Nigam (SJVN).

3. Who will be developing the 750 MW West Seti project in Nepal, and why did China's Three Gorges Corporation pull out of the project? Answer: NHPC Limited will be developing the 750 MW West Seti project in Nepal. China's Three Gorges Corporation had pulled out of the project citing financial non-viability.

4. What is the current status of the 900 MW Upper Karnali project, and which company has been given the license to develop it? Answer: The 900 MW Upper Karnali project has run into trouble with the company being unable to achieve financial closure within the stipulated deadline. The Indian corporate GMR group has been given the license to develop the project.

5. What is the most exciting development in Nepal's hydropower sector, and how much power did Nepal export to India between June and December 2022? Answer: The most exciting development is the export of NPR 11 billion (INR 6.8 billion) worth of power to India between June and December 2022. Nepal is currently allowed to sell 452.6 MW generated from 10 projects in the Indian day-ahead electricity market.

6. What are the issues and challenges faced by Nepal's hydropower sector, and how is India's decision to waive off ISTS charges affecting Nepali power exports? Answer: Nepal's hydropower sector is facing issues such as ISTS charges, and the India-China issue. India's decision to waive ISTS charges to its domestic projects is making Nepali power exports less competitive. Nepal is seeking a similar waiver on its power exports.

7. What are the suggestions for the development of Nepal's hydropower sector, and how can India's regional connectivity push be expedited? Answer: The suggestions for the development of Nepal's hydropower sector include expediting the export of Nepali power to Bangladesh and a bilateral UPI payment interface. India's regional connectivity push can be expedited by providing assurance to its neighbors that Delhi is committed to realizing its vision for the global South in the G20 presidency and taking the connectivity projects in South Asia one step further.

8. What is the way ahead for regional connectivity in South Asia, and what will be the key to its success? Answer: The way ahead for regional connectivity in South Asia is to realize India's vision for the global South in the G20 presidency and take the connectivity projects in South Asia one step further. The key to its success will be India's assurance to its neighbors that Delhi is committed to realizing this vision.