Kathmandu, April 21: The Investment Board of Nepal (IBN) has signed project negotiation agreement (PNA) with SN Power, a Norwegian power developer engaged in development of 650MW Tamakoshi hydropower project. SN Power is the first company to ink PNA, although the IBN has asked all hydro project developers to sign such agreement.
"GMR and Sutlej Jal Vidyut Nigam, two Indian infrastructure developers, have not signed PNA so far," a source privy to the issue told Republica. The IBN had previously asked all the three developers--GMR, Sutlej and SN Power--to sign the PNA.
Kathmandu: Major political parties today made a commitment to develop hydropower in the country.
During the 47th Annual General Meeting of the Federation of Nepalese Chambers of Commerce and Industry here, leaders of six major political parties — the Unified CPN-Maoist, Nepali Congress, CPN-UML, Madhesi Janaadhikar Forum-Nepal, Rastriya Janashakti Party and Madhesi Janaadhikar Forum-Democratic — and the Chairman of the interim election government Khil Raj Regmi signed a commitment paper, pledging not to disturb hydropower development in the country.
In August 2012, under the auspices of the CIG project DFID provided up to £5m in the form of a Due Diligence Fund to finance the significant legal and other professional costs associated with hydropower development efforts supported by CIG, in particular negotiation of the country's first concession agreements for selected ‘mega projects’ (of 500 MW and above).
The past year has featured solid accomplishments indicating an ever more intensive pace for 2013
In June the Nepal Investment Board (NIB) and Cabinet approved the principal features of a Project Development Agreement (PDA) template, which sets out the principles of a "good deal" for Nepal, and also deals with key items that should feature in a contract between a hydro developer and the NIB, representing the Government. These provisions will ensure that a given Agreement is "bankable", since compliance with World Bank standards in such matters as "benefit sharing" and "environmental safeguards", allows the Bank Group to offer political risk coverage.