Power connectivity and renewables central to Nepal’s energy plans: Minister Shrestha

KATHMANDU: Nepal has extended its national grid to provide electricity to 98% of the population and is pursuing a broader renewable energy mix, Minister for Energy, Water Resources and Irrigation Biraj Bhakta Shrestha said on Thursday.

“We are firmly dedicated to achieving universal access. We are actively diversifying our energy mix by promoting other renewable sources like solar, wind and bioenergy, targeting a 15% share for these renewables by 2030,” the minister said at the launch of the Energy Connectivity in South Asia event in Kathmandu.

Minister Shrestha said power system connectivity and renewable energy resources are aligned with a shared sustainable future and that the government’s aims extend beyond economic benefits. “This project is fundamentally about accelerating the green energy transition, fighting the impacts of climate change, enhancing electricity access and generating employment opportunities, all while preserving our environment and addressing vital social and biodiversity challenges,” he said.

The government has prepared an Energy Development Roadmap and Action Plan in response to rising domestic and regional power demand. “This roadmap aims to generate approximately 28,500 MW of power by 2035, with a heavy focus on hydropower and clean sources. We are expanding our grid infrastructure to cover over 17,000 circuit kilometres and boosting substation capacity to 40,000 MVA,” Minister Shrestha said.

He said Nepal is ready to serve as a reliable supplier of clean electricity and to contribute to regional energy security while supporting global efforts to reduce greenhouse gas emissions.

True energy security and grid flexibility, the minister added, require transmission infrastructure capable of moving clean power across borders. “They require robust cross-border transmission infrastructure capable of facilitating reliable and efficient electricity trade. Nepal is proactively building these physical links with our neighbours through both bilateral and multilateral initiatives,” he said.

Nepal’s grid is already linked to India with an import-export capacity of around 1,500 MW. The country has also operationalised a tripartite power trade agreement to sell 40 MW of electricity to Bangladesh via India’s grid, the first such arrangement in South Asia.

As part of longer-term plans for regional connectivity with China, Nepal and China have signed cooperation agreements for the Rasuwagadi–Kerung 400 kV transmission line project, and for the Chilime Hub–Jilong 220 kV and Hitar–Kimathanka–Chau 400 kV lines, which are expected to enable future cross-border electricity exchange.

The minister said Nepal is working to strengthen regional cooperation and promote regulatory harmonisation through engagement with regional frameworks such as SAARC, BIMSTEC and the BBIN initiative, and that the government stands ready to work with neighbouring countries, international partners and the private sector to harness the country’s renewable potential.

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