The Nepalese government has placed the energy sector at the core of its economic agenda, targeting 30,000 MW of generation capacity over the next decade. According to *The Rising Nepal*, Energy Minister Biraj Bhakta Shrestha issued a 32-point directive to improve governance and speed up project development.
Structural reforms include establishing wheeling charges for ‘Open Access’, introducing seasonal tariffs, and extending reservoir project licenses to 50 years. The government also proposed allowing private sector investment in transmission lines and cross-border electricity trade.
To enforce market discipline, authorities will revoke licenses for projects that have signed PPAs but failed to start construction. New agreements will operate under a ‘Take or Pay’ model. Furthermore, the Ministry is advancing four key legislative bills and a new strategy to simultaneously increase domestic consumption and energy exports.
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