The Nepal Electricity Authority (NEA) has extended the Required Commercial Operation Date (RCOD) for 27 hydropower projects with a combined capacity of 540.47 megawatts in the first phase of the decision.
The projects had signed Power Purchase Agreements (PPAs) but did not complete construction within the stipulated time. The extension followed an assessment of their actual status and is expected to clear the way for electricity generation from the projects.
Decision aims to encourage hydropower investors
The move followed an initiative by Minister for Energy, Water Resources and Irrigation Biraj Bhakta Shrestha. He said the extension was intended to encourage investors, responding to demands from energy promoters.
The RCOD sets the date by which a project is required to begin commercial operation. The NEA's decision gives the 27 projects additional time after reviewing their progress and circumstances.
First phase covers 540.47 MW
The first phase includes 27 hydropower projects whose combined capacity is 540.47 MW. The extension is expected to help these delayed projects advance toward generating electricity.
