December 8: Huaxin Cement Industry is set to start production of cement on trial basis within the next three weeks. The industry has stated that necessary preparations are being made to this end.
"We are in the process of finalizing the test production. Necessary equipment have been connected, and only some basic works remain. They will be completed in a few days,” said Dilliraj Pokharel, deputy general manager of Huaxin Cement Industry.
Electricity has been made available to the industry since Monday. The cement factory will start operation with the joint investment of Nepalese and Chinese businessmen. The industry has received electricity from the Marshyangdi-Kathmandu 132 KV transmission line.
The industry has invested Rs 1 billion for the construction of the transmission line.
The cement industry will get a total of 20 MW of electricity.
Nepal Electricity Authority (NEA) is requesting industries to demand additional electricity as per their capacity.
NEA Executive Director Kulman Ghising said that they are making efforts to ensure that the industries consume more electricity.
On Monday, the Benighat Rorang Municipality had requested the locals not to go around the tower saying that the transmission line was about to come into operation.
The industry under construction in Taldi of Benighat Rorang rural municipality has constructed a switching station for transmission of electricity within a year. About 14 kilometers of transmission line and 132 KV substation have been constructed from the switching station to the industrial complex. Switching stations and substations have been constructed with the technical assistance and supervision of NEA.
According to Ghising, the power supply in Dhading has improved after the construction of the switching station.
With the operation of the switching station, it has become easy to provide electricity to other industries that are about to open in the Naubise area of Dhading Gorge. Dozens of new industries are opening in the highway area as the capital is close to Kathmandu.
NEA's infrastructure has also been prepared to provide electricity to these industries easily.
With the supply of quality and reliable electricity in the highway area, the revenue of NEA is also expected to increase.
Although the Ministry of Industry, Commerce, and Supplies has taken a policy to build a transmission line to the industrial complex, Huaxin has prepared the structure itself to expedite the work
Covid pandemic, natural disasters, and other factors have increased the cost of the industry. While making the initial agreement with the Investment Board, the cement industry had estimated to pour in Rs 14.40 billion, but due to various reasons the cost has increased by an additional Rs 3 billion.
The board had signed an agreement with Huaxin to produce quality cement in Nepal. Another cement industry with Chinese investment, Hongsi, has been producing cement regularly for the past three years. The industry has been receiving 30 MW of electricity for some time now. Cement will be available in the Nepali market at a cheaper price with the operation of these industries.
According to Pokharel, their main duty is to provide quality cement to the country which is moving ahead with the pace of economic development. The Huaxin Cement Industry will produce 3,000 metric tons of cement daily.
Maha Prasad Adhikari, Chief Executive Officer of the Board, and Xu Gang, Vice-Chairman of Huaxin Cement, signed the agreement on 6 June 2018 in Beijing, China. Although the agreement says to set up the factory within six months, it has taken a long time due to various reasons.
The board estimates that 350 people will get direct employment and 1,000 people will get indirect employment from the industry.
Nepal currently has a demand of about 3.5 million metric tons of cement. The production capacity of the cement industries established in Nepal has reached 5.5 million metric tons annually. -- RSS