Kathmandu Energy Storage Power Station Construction

When will Nepal's largest energy storage project be completed?

The project said the overall construction is set to be completed by May 2026. The project will be one of Nepal’s biggest storage-type projects, with an estimated annual energy generation capacity of 587.7 GWh for the first 10 years and 489.9 GWh from the 11th year. During the dry season, the project can generate energy for six hours daily.

What is a storage-type hydropower project in Nepal?

Nepal plans to build a storage-type hydropower project that stores water in the rainy season and uses it to produce energy in the dry season. In the dry season—from November to February—when water flow in the rivers drops and snow-capped mountains don't melt, Nepal has been suffering a power deficit. This deficit is currently met by imports from India.

Where is a hydropower project located in Nepal?

The Budhi Gandaki hydropower project is located in Gorkha and Dhading districts in Nepal. This storage-type project, which will provide energy security for Nepal for the next decades, has been in limbo for over a decade due to funding uncertainty. The project will store water in the rainy season and use it to produce energy in the dry season.

How many storage projects are there in Nepal?

Nepal has only two storage projects—Kulekhani I (60 MW) and Kulekhani II (32 MW). The project, which will be Nepal’s third storage type, is 150 km west of Kathmandu on the Seti river near Damauli in the Tanahun district. Shyamji Bhandari, project chief, said grouting is being done in the lower level area of the main dam under package 1.

How much does the Nepal Electricity Project cost?

The government and the Nepal Electricity Authority will use their money to build the infrastructure during pre-construction. The project is estimated to cost $505 million, and the Nepal government will contribute $86 million.

What is the Budhi Gandaki hydropower project?

The Budhi Gandaki Hydropower Project is a storage-type hydropower project that the government has decided to set up. It will be the country’s largest hydro project once built, and its site is located in Gorkha and Dhading districts.