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Nepal, India Issue Common Vision on Energy Development

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Nepal, India Issue Common Vision on Energy Development
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April 4: India has opened the door for electricity trade with Nepal, rising above the framework of the South Asian Association for Regional Cooperation (SAARC) and the declaration of the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation (BIMSTEC).    
Although Nepal has been making efforts since a long time for selling surplus electricity produced during the monsoon in the regional market, it had not been successful. Nepal's goal of exporting electricity has got the green signal after the two countries issued the 'India-Nepal Common Vision' on energy development during Prime Minister Sher Bahadur Deuba’s visit to the southern neighbour.    
By issuing the vision, both the countries have agreed to increase mutual cooperation in the energy sector. With this, Nepal's aspiration of entering the regional power market will turn to reality. The prime ministers of both the countries have described the Common Vision as the biggest achievement so far in the energy sector. It is believed that this will pave the way for exporting surplus electricity to India and Bangladesh.    
The Common Vision envisages developing some big projects in Nepal through joint investment of both the countries, constructing inter-country transmission line and providing appropriate access based on market demand, among other things.    
Moreover, the announcement to include the countries in the BBIN, a sub-regional organisation, in the Common Vision is significant in itself.    
Following the latest agreement with India, Nepal has been ensured the market for electricity in India and up to Bangladesh. It may be noted that during Prime Minister Sher Bahadur Deuba's visit to India, Indian Prime Minister publicly pledged to purchase electricity from Nepal.    
On the occasion, Minister for Energy, Water Resources and Irrigation Pampha Bhusal and her Indian counterpart Raj Kumar Singh discussed about the development of energy of Nepal during a sideline meeting.

Nepal exported 39 megawatts of electricity to India from two projects in Nuwakot five months ago. The projects were constructed with Indian grants.    
In lack of market, approximately Rs 5 billion worth of electricity was wasted, according to the Nepal Electricity Authority. -- RSS 

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