Government to formally request China for soft loan to Budhi Gandaki Project

Kathmandu / March 6: The government is to formally request the Chinese Government to provide soft loan for the construction of the Budhi Gandaki Hydro Power Project during the Prime Minister’s forthcoming visit to the northern neighbour.

The Ministry of Energy is learnt to have already prepared a draft to this end and submitted it to the Ministry of Foreign Affairs. Prime Minister KP Sharma Oli is embarking on China visit in the near future.

Besides, a Detailed Project Report (DPR) regarding the Project has already been prepared, according to Energy Ministry’s Spokesperson Dr Sanjay Sharma. The Project is viewed as a significant one in terms of addressing the severe power crisis facing the country. The Energy Ministry is working on to determine the model of the project. Its estimated cost is around Rs 200 billion.

Likewise, the construction of Kimathanka Arun Hydel Project based in Sankhuwasabha district is in the list of PM’s visit agenda.

Sharma said that during the visit, proposal would be put up with Chinese government about construction of four trans-border transmission lines (including Rasuwagadi-Kerung, Tatopani Khasa, Koshi corridor and Korala) as specified in the action plan on the elimination of energy crisis.

The Ministry has also proposed to prepare a structure for holding consultation on necessary issues and form a joint task force of joint secretary-level in relation to energy trade deal between Nepal and China.

A proposal has also been made to establish a mechanism of secretary-level of both Nepal and China for monitoring and providing necessary advices to the task force. Likewise, preparations are underway to hold consultation with Chinese government to install a 132 KV monopole to improve power supply system in Kathmandu valley. RSS