The government has announced plans to mobilize domestic capital for the development of hydropower projects under the “People’s Hydropower Programme.” According to the annual policies and programmes for Fiscal Year 2025/26, presented by the government on Friday, self-generated capital will be used to fund hydropower projects, and efforts will be made to channel remittances from Nepali citizens working abroad into these ventures.

As outlined in the Electricity Consumption Increase and Mineral Fuel Reduction Action Plan, 2080 B.S. , the government aims to promote the use of electric appliances across households, agriculture, industry, commerce, tourism, and the transport sector.

To reduce electricity imports, river diversion and reservoir-based projects will be implemented to manage power supply during peak demand hours. Legal and institutional frameworks will be introduced to protect river systems and develop a master plan for river basin management, based on the principles of integrated water resource management, read the policies and programmes.

The government also plans to rebuild irrigation and water infrastructure in areas affected by climate change and earthquakes. The network of hydrological and meteorological centers will be expanded and upgraded to support these efforts.

Reliable irrigation services will be extended to arable land through integrated and multipurpose water resource development. Irrigation system restoration will prioritize the convenience of farmers.

In addition, the government will promote the sustainable use of water resources, groundwater recharge, and the protection of lakes and reservoirs. It also plans to construct storage facilities to enhance water management.

To ensure universal access to modern and renewable energy, the development of solar, wind, and hydrogen energy will be prioritized as alternative energy sources, the government announced.

To meet electricity demand during the dry season and ensure long-term energy security, the government will adopt appropriate financial models for the development of reservoir-based and multipurpose hydropower projects.

High-capacity national and cross-border transmission lines will be expanded with the involvement of the private sector. Necessary policy and regulatory measures—including the determination of transmission and wheeling charges—will also be introduced to strengthen the electricity transmission infrastructure. -- RSS