Kathmandu. Independent Power Producers’ Association of Nepal (IPPAN) held a meeting with Managing Director of Nepal Electricity Authority (NEA), Hitendra Dev Shakya, on Monday and proposed power trade and transmission line construction cooperation.

In a meeting with the Executive Director on Thursday, IPPAN said that the private sector was ready to construct the transmission line and also to collaborate with the NEA for electricity trade.

Stating that the construction of the transmission line constructed in collaboration with the private sector and NEA was in the phase of completion soon, the NEA proposed to collaborate in other projects as well as bring in the private sector as a shareholder of the power trading company established by the NEA.

On the occasion, IPPAN Chair Ganesh Karki said the private sector was ready to collaborate with the NEA, saying they were facing a big problem due to the lack of transmission line.

He said that the business could be carried out by involving the private sector in the NEA’s trading company until the private sector is given the license for electricity trade.

On the occasion, Chairman Karki stressed the need of immediately opening the Power Purchase Agreement (PPA), extending the RCOD deadline, scrapping the contingency system and scrapping the hydrology penalty.

IPPAN Senior Vice-President Mohan Kumar Dangi said that the energy sector could be developed only after working together with the private sector and NEA. IPPAN Vice-President Uttam Blon Lama, General Secretary Balaram Khatiwada, Deputy General Secretary Prakash Chandra Dulal among others said that the NEA should bring the above model and involve the private sector in the transmission line.

On the occasion, Executive Director Shakya said there was a situation in which the private sector could construct the transmission line on time, adding that there was no alternative to forwarding the process of constructing transmission line jointly with the private sector and NEA.

“The problem of transmission line has been seen the most, due to which problems including contingency have surfaced. He said, “If the NEA could bring in investment from the private sector when it does not have enough budget, it will solve the major problems of the transmission line.” ’

Stating that there was a need to maintain balance between production and consumption by involving the private sector in the electricity trade, he said that a study would be carried out on the participation of the private sector in the trading company of the Nepal Electricity Authority. He also informed that the power trading company is going to be made active.