Nepal Earns Rs 8.15 Billion from Electricity Exports to India in Five Months

24 Dec 2024

The Nepal Electricity Authority (NEA) has exported electricity valued at 13 billion Nepalese rupees (approximately INR 8.15 billion) during the first five months of the current fiscal year. NEA officials report that between mid-July and mid-December of the 2024-25 financial years, a total of 1.76 billion units of electricity, worth 13.04 billion Nepalese rupees, were exported to India.

NEA spokesperson Chandan Ghosh stated that Nepal has been exporting excess electricity to India during the rainy season in the past few years. The average rate for electricity exported to India over the past five months is NPR 7.39 (approximately INR 4.63) per unit.

The authority is selling surplus power at competitive rates in both the day-ahead and real-time markets of the Indian Energy Exchange, as well as to the states of Haryana and Bihar under bilateral medium-term power sale agreements. As a result, the authority has generated Rs 8.15 billion from selling electricity during the review period, as the transaction was conducted in Indian currency.

However, Ghosh stated that due to the dry weather accompanying the onset of winter, Nepal has ceased its power exports and begun importing electricity from India. Currently, Nepal imports 300 MW of electricity from India to fulfil its domestic demand. The majority of Nepal's power plants are run-of-the-river types, which are subject to seasonal variations in output.