Government of Nepal

Ministry of Finance

AID MANAGEMENT INFORMATION SYSTEM FOR NEPAL

Project Preparatory Facility for Energy is one of the latest attempt of ADB in energizing Nepal. The Proposed Project is a grant support to develop some major and Reserviored Hydrpower Projects for the project readiness so that any interested investor may at any time come for the investment.

Namely Dudhkoshi, Tamakoshi 2-3 and 2nd  cross border electricity transmission line between India and Nepal,  other potential Resrviored projects will be prepared with Feasibility  Study and Detail Design for immediate action as soon as the investors get ready for investment in Hydropower Sector.

- ADB will be providing the grant assistance of 21 million US dollars to GON for preparing the attractive projects.

- Gon will be financing 5.25 million US dollars as the 20 % counterpart fund and the necessary menpower to materialise the targets

- the Experties and the technology by the consultants and the designers and builders are the other valuable inputs for the project.

1. Feasibility and detailed engineering studies.

-Feasibility studies, including IEEs, EIAs and SIAs of Sun Koshi 2 (1,110 MW Storage type) and Sun Koshi 3 (536 MW Storage type) Projects.

- An update of the feasibility study, including IEE /EIA/SIA, and detailed engineering studies of Dudh Koshi (300 MW Storage type) Project.

-A feasibility study including IEE/EIA/SIA for a second India-Nepal 400 KV Crossborder Transmission Line As agreed upon India and Nepal.

-Feasibility Studies of any other suitable hydropower or transmission Projects from the savings.

2. Public Private Partnership Project Development Services

-PPP Project Development services to facilitate private sector investment to develop a hydropower project with a potential to export hydropower to India,

- PPP project development services for any other suitable Power Projects from savings.

- Nepal will have enough electricity and possibility to export power to India.

- Nepalese people won't have to suffer from the loanshedding and the industraul development is possible.

- Attraction for the investors will give rise to the growth in economic activities.

Better and prosperous Nepal will be possible and good trading relation between India and Nepal will contribute to reduction in trade deficit with India.