Surkhet. The preliminary works of the Upper Mugu Karnali Hydropower Project to be constructed in Karmarong and Chhayanath Rara municipalities of Mugu district have started.

The project has a capacity of 306 MW. The process for production license for the project to be constructed by Elevate Energy has already started. The company had acquired survey license in 2077 BS.

A public notice has been published for the preparation of the Environmental Impact Assessment Report and Project Feasibility Study Report of the project. The project will generate 1,629 gigawatt hours of energy annually. Chief Executive Officer of the company, Prabin Aryal said that the actual production capacity would be finalized after receiving the full report of the feasibility study.

Preliminary work has already been completed at the project site. Similarly, the design and headworks are being studied at Hydrolab. Four vertical axis pelton turbines and generators will be installed in the powerhouse. Generated electricity will be connected to Phukot Hub Station through 55 kilometers long 400 kV double circuit transmission line. The company aims to start commercial power generation by August 2033.

The Department of Electricity Development has issued a public notice based on the environmental impact assessment and feasibility study report of the project. The total cost of the project is estimated to be Rs 55.33 billion.