Pokhara. As per the agreement, Nepal will import electricity from the Indian states of Bihar, Uttar Pradesh and Uttarakhand for the next one year. The 17th meeting of the Nepal-India Power Exchange Committee reached an agreement in this regard. The meeting was held in Pokhara on March 28 and 29.

According to NEA, the process of purchasing power through PEC has been continually operated since 1992 for the exchange of power between Nepal and India. The power plant has been established as an important basis for Nepal-India energy cooperation in operation for more than three decades. Managing Director of Nepal Electricity Authority (NEA) Hitendra Dev Shakya said that the meeting also fixed the power purchase rate for the next one year.

The Nepali delegation in the meeting was led by Executive Director of Nepal Electricity Authority (NEA) Mr. Shakya and the Indian side was led by Mr. Vijay Kumar Singh, Board Member of Central Electricity Authority (CEA).

The Board of Directors of Nepal Electricity Authority (NEA) had given authority to the Managing Director to sign the agreement and negotiate the power purchase rate.

The committee had given authority to the executive director to hold talks in the meeting, agree on the power purchase rate and sign the necessary agreement.

During the talks, the Indian side had proposed to increase the power purchase rate by 5.5 percent citing the increase in the cost related to power generation and supply.

On the basis of the study of the Indian electricity market and the available market indices, the current market rate is relatively low, arguing that there is no need to increase the rate.

After extensive discussion and deliberations between the two sides, they have agreed to increase the rate by only 1.5 percent last year. This growth rate is similar to the previous year. As per the agreement, 132 KV will be installed for the current year. The rate of electricity purchased through the transmission line is Rs 8.22 per unit. Per unit at the level. Rs. 8.91 and 11 KV. The price has been fixed at Rs 9.55 per unit. The meeting also agreed to hold discussion on the issue of power purchase rate structure after conducting a detailed review next year.

The agreement is expected to further strengthen electricity supply management in Nepal during the dry season that will occur in coming April and April. Currently, Nepal Electricity Authority (NEA) is importing around 12,000 to 14,000 megawatt hours of electricity daily, which is expected to increase further with the increase in demand during the dry season.

Senior Divisional Engineer of the Ministry of Energy, Water Resources and Irrigation, Sanjeev Raya and representatives of the Ministry of Foreign Affairs were present in the meeting. Suman Shekhar, First Secretary at the Embassy of India, Kathmandu was also present in the meeting.

At the end of the meeting, both sides expressed hope that the agreement would further strengthen Nepal-India energy cooperation, promote regional energy security and further consolidate the longstanding cordial relations between the two countries.