Nepal targets 5,535 MW power capacity, prioritises stalled projects
The minister said the new approach focuses on completing delayed projects quickly and ensuring that projects expected to finish within the current fiscal year receive priority funding.
KATHMANDU: Biraj Bhakta Shrestha has stated that the government is prioritising long-stalled hydropower projects and those nearing completion, rather than spreading the budget thin across multiple new schemes.
Speaking during deliberations on his ministry’s budget allocation in the House of Representatives, the minister said the new approach focuses on completing delayed projects quickly and ensuring that projects expected to finish within the current fiscal year receive priority funding.
He emphasized that the revised allocation strategy aims to improve efficiency in the energy sector by avoiding “budget scattering” and instead accelerating tangible output from ongoing projects.
According to the minister, Nepal is projected to add significant new electricity capacity in the coming fiscal year.
He stated that around 670 MW from hydropower projects and 370 MW from solar projects—totalling 1,040 MW—are expected to be connected to the national transmission system within the year.
With this addition, the country’s total installed capacity is projected to reach approximately 5,535 MW.
Looking further ahead, the government has set an ambitious long-term target of generating 30,000 MW of electricity within the next decade, signalling a major expansion in Nepal’s energy infrastructure and export potential.
The minister also assured lawmakers that the government is working on measures to ensure that produced electricity is fully utilised and not wasted, including improved planning and system readiness.
