Nepal has decided not to approve any hydropower projects that will export the bulk of the electricity they generate.
The announcement was made by Dharmendra Bastola, head of the Seti-Mahakail Bureau, the region where the 900 MW Upper Karnali hydropower project is located.
He said the central committee of his party decided at a meeting two months ago that the licence given to the project developer GMR to conduct a survey should be scrapped and a fresh contract negotiated.
A consortium led by GMR received the licence in 2008 to develop the Upper Karnali, with Nepal Electricity Authority receiving 27 per cent free equity and Nepal 12 per cent free power.
The rest of the generated power was to be sold to India.
However, Bastola said Nepal is seeking to have the country’s best hydropower projects “developed domestically”, with Nepal holding over 51 per cent to ensure the “sovereign right of Nepalis to their natural resources.”