May 24: Yambling Hydropower Project with 7.27 mega watt capacity is projected to be constructed at Jugal VDC ward-3 in Sindhupalchowk.

The hydropower project has signed has signed a Memorandum of Understanding (MoU) with Zhongding International Engineering Company Limited from Chiyang, China for investing in the project.

Yambling Hydropower Project is expected to be operational by July 2020, informed Kaman Singh Lama, chairman of the project operation committee and former ambassador of Nepal to South Korea.

The estimated cost of the project is Rs 1.20 billion. Thirty percent of the budget is being invested by the hydropower company itself while the remaining 70 percent will be invested by Zhongding International.

The catchment area of the project site is located between 2200 to 4200 meters above the sea level. The project site is in a region which witnesses snowfall and the hydropower dam will have fast current of water throughout the year, informed project chair Lama.

The project will generate 39.9 giga watts or 3.9 million units of electricity annually. A 33 Kv line is projected to be constructed to supply the produced electricity from the power house of the hydropower to a NEA substation in Pangtang located 6 km away from the site.

The hydropower project had received the approval for electricity production in December 2012 and had signed the hydro electricity trade agreement in December 2015.

Lama also informed that the company will work on an additional hydropower project of 40 mw capacity with Rs 8.2 billion investment after the progress of the current project. Chinese investors will invest in the new project as well.