December 27, 2024

CMD, SJVN signed PDA for 669 MW Lower Arun HEP with IBN, GoN

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The Himachal Herald, Shimla

In the benign presence of Prime Minister of India, Narendra Modi and Prime Minister of Nepal, Pushpa Kamal Dahal, Project Development Agreement (PDA) of 669 MW Lower Arun Hydro Electric Project in Nepal has been signed. The PDA was signed by Nand Lal Sharma, Chairman & Managing Director, SJVN and  Sushil Bhatta, CEO, Investment Board of Nepal (GoN) in New Delhi today.

On this occasion, Nand Lal Sharma said that SJVN is committed to make Lower Arun HEP a Model Hydro Project with complete execution, from concept to commissioning within 7 to 8 years. As one of major achievement, the DPR of this project has been prepared by SJVN in record time and the approval of the same by both governments was also the fastest till date. Nand Lal Sharma expressed his gratitude to the Prime Minister of India, Sh. Narendra Modi for continual guidance & blessings and Prime Minister of Nepal,  Pushpa Kamal Dahal for showing confidence in SJVN as Development Partner.  He thanked Ministry of Power, Ministry of External affairs and Ministry of Jal Shakti, Government of India for the support extended in accelerating necessary techno-economic approvals of the project.

“This is our second large-scale investment in Nepal after 900 MW Arun-3 HEP which is in advance stage of construction. Now, our target is to start the construction of the project in current fiscal after obtaining Investment approval from Government of India,” said Sh. Sharma.

Highlighting the salient features,  Nand Lal Sharma apprised that the project shall be constructed in five years at a cost of Rs 5792 crores with a levelized tariff of Rs 4.99 per unit. The project will be developed on BOOT basis and on completion it will generate 2901 million units of energy annually. In addition to this, SJVN is also developing 217 Km long associated Transmission Network for power evacuation and export to India.

The 669 MW Lower Arun Hydro Electric Project is located in Sankhuwasabha and Bhojpur districts of Nepal. SJVN won the project through International Competitive Bidding in February 2021 and the MoU was signed in July 2021. A tail race development of 900 MW Arun3 HEP, the project will not have any reservoir or dam and will operate as Tandem Operation System with Arun-3 Project. SJVN is already operating India’s largest underground 1500 MW Nathpa Jhakri Hydro Power Station in Tandem with 412 MW Rampur Hydro Power Station in Himachal Pradesh.

SJVN is a key partner and trusted investor in socio-economic development of Nepal. Allocation of these hydro projects on Integrated River Basin Development approach is a mutually beneficial endeavour for both nations as it will result in economic growth of India & Nepal.

Presently, SJVN is executing three hydro projects of 2059 MW in Nepal. 900 MW Arun-3 HEP is in advance stage of construction and 490 MW, Arun -4 HEP will be developed in Joint Venture mode by SJVN and Nepal Electricity Authority. SJVN is targeting for 5000 MW projects in Nepal by 2030.