Kathmandu. Minister for Energy, Water Resources and Irrigation, Physical Infrastructure and Transport and Urban Development Kulman Ghising has urged the Electricity Regulatory Commission to fix competitive rate of power purchase agreement (PPA) of hydropower projects.

Receiving the Commission’s annual report for the last fiscal year 2081/82 BS on Wednesday, Minister Ghising pointed out the need to set competitive base rate to make energy generated from hydropower projects more accessible, competitive and transparent. NHRC Chair Ram Prasad Dhital submitted the report to Minister Ghising.

Directing the commission’s office-bearers, Minister Ghising said, “Solar power has a competitive base rate which has made PPA competitive and transparent. ’

Nepal Electricity Authority (NEA) has been purchasing solar power through competition. The maximum base rate of the competition is Rs 5.94 per unit. The PPA rate for the hydropower project is Rs 4.80 and Rs 8.40 per unit, respectively.

Directing the Commission’s office-bearers to make the regulatory bodies effective, Minister Ghising urged them to focus on their activities in a way to promote and encourage the private sector and make the NRA sustainable.