The 102 MW Madhya Bhotekoshi Hydel Project in Sindhupalchok district has reached the final phase of construction, with authorities speeding up the work to start generating electricity within a month.
Madhya Bhotekoshi Jalavidyut Company Limited (MBJCL), a subsidiary of Chilime Hydropower Company Limited, is developing the project. Chilime Hydropower Company Limited is a subsidiary company of Nepal Electricity Authority (NEA).
Stakeholders concerned reached an agreement last month to resume the construction of a transmission line required to link the electricity produced by the project to the national grid.
Locals of Palanti in wards 3 and 4 of Bahrabise Municipality had obstructed the work in the 2-kilometre section of the transmission line for the past 14 months, demanding proper compensation among other issues.
Though 13 towers have been constructed for 220 kV single circuit transmission line, installation of wires in the 2-km section remains to be completed. It is expected to be completed before Dashain, which begins on October 3 this year.
Earlier, the tunnel of the hydropower project had leaked when water was passed through it for testing. The repair work has been completed, according to the NEA.
While the construction of civil works in the power plant has been completed, installation of electromechanical equipment and dry test is being carried out.
A team including Minister of State for Energy, Water Resources and Irrigation Purna Bahadur Tamang and Managing Director of NEA Kulman Ghising visited the project’s site on Saturday. They instructed the project management, consultants and construction professionals to work to produce electricity within one month.
NEA will use the electricity from the project to charge its 220/132 KV Bahrbise substation, whose construction has been completed.
As a temporary arrangement, the electricity transmitted to the substation from the 200 kV transmission line will be reduced to 132 KV through at the same substation and connected to the national grid.
The company is currently working to expand the 132 kV transmission line constructed by Shivshree Hydropower, the promoter company of the 22 MW Upper Chaku A Hydropower Project, to the Bahrabise substation. It is also expected to be completed before Dashain.
From the same transmission line, the electricity of Madhya Bhotekoshi will be integrated into the national system through the long-distance substation.
The alternative arrangement will be in place till the completion of Khimti-Bahrabise or Bahrabise-Kathmandu transmission lines.
The construction of the Madhya Bhotekoshi Hydel Project faced a delay due to a number of factors including the Jure Landslide, 2015 Gorkha Earthquake, border blockade by India, Bhotekoshi River Flood, Covid-19 Outbreak and poor performance of builders among others.
While the initially estimated cost of the project was Rs 12.28 billion, excluding the interest during the construction period when the loan agreement was signed with the Employees' Provident Fund (EPF), the updated estimated cost excluding the interest is Rs 16 billion, according to NEA.
Of the total cost, 50 percent has been raised from equity and 50 percent from debt.
Of the 51 percent promoter shares of the company, Chilime Jalvidyut Company Limited hold 37 percent, NEA holds 10 percent and the remaining four percent are held by Sindhupalchok Hydropower Co. Ltd, Nepal Arnico Hydropower Company Ltd., Sindhu Investment Company Pvt. Ltd. and Sindhu Bhotekoshi Hydropower Ltd, each.
Similarly, of the 49 ordinary shares, 19.5 percent is held by employees at EPF, 3.5 percent by the employees of the hydropower company and one percent by the staff of lender organisations.
Similarly, residents of Sindhupalchok district hold 10 percent shares and the remaining 15 percent has been allocated for the Nepali nationals across the country.
There are a total of 1 million and 75 thousand ordinary investors in the company.
Once completed, the project will generate 542 million units of electricity annually. The NEA will purchase electricity at the rates of Rs 8.40 and Rs 4.80 per unit in the dry and wet seasons, respectively, generating an annual earning of Rs 2.8 billion for the company.
