Nepal exports Rs 16.93 billion worth of electricity to India in FY 2023/24

KATHMANDU: Nepal exported electricity worth Rs 16.93 billion to India in the last fiscal year 2023/24.

The Nepal Electricity Authority (NEA) made an income of Rs 16.93 billion by exporting 1.94 billion units electricity to India last fiscal year.

The surplus power was sold competitively at the Indian Energy Exchange’s day-ahead and real-time markets, as well as through a mid-term power agreement with NVVN (NTPC Vidyut Vypar Nigam Limited), which further distributed the power to Haryana state in India.

The average rate of exported power stood at Rs 8.72 per unit.

Conversely, Nepal imported electricity worth Rs 16.81 billion during the same fiscal year.

Approximately 183 billion units of electricity were imported from India to meet increased domestic demand, particularly during the winter months when hydropower production decreases due to reduced water flow in rivers and rivulets across the country.

The average rate of imported power during the winter season was Rs 9.17 per unit.

The net result showed Nepal exporting more electricity to India than it imported, resulting in a surplus valued at over Rs 122.3 million for the fiscal year.

Looking ahead, Executive Director Kulman Ghising of NEA highlighted that although Nepal will continue to need to import power to meet domestic demands during the winter months for the next few years, the volume of export is expected to increase over time.