Signing of the Power Development Project

The signing of agreement between HMGN and the World Bank (WB) was concluded at Kathmandu on 9 July 2003 for the long awaited Power Development Project (PDP). The Micro-Hydro Village Electrification Component (MHVEC) of the PDP will support for the expansion of the REDP activities in 25 hilly districts. It is envisaged that a total of 150 micro hydro schemes will be supported for generating about 3,000 kW in 150 VDCs. Of the total estimated budget of US8.9 million for the MHVEC, the World Bank will provide US$ 5.5 million and the rest will be mobilized from DDCs, VDCs, communities, ADBN and UNDP. The UNDP’s contribution totals to US$0.8 million. The Alternative Energy Promotion Centre (AEPC) is the implementing agency and the REDP is the Programme Support Unit for the implementation of the MHVEC.