Fund management for Upper Seti Hydropower Project to be built in Bajhang in the Sudurpashchim Province has been ensured. An agreement between Samriddhi Energy Limited, the promoter of the 216 Mega Watt hydropower project and Kumari Bank, the lead bank of 13 banks collaborating for the financial closure signed recently in Kathmandu. The agreement was signed by chief executive officer Ramchandra Khanal on behalf of Kumari Bank and Chairman Shailendra Guragai on behalf of Samriddhi Energy Limited.
For the project to be built in Saipal Rural Municipality-4 and 5 of Bajhang, under the leadership of Kumari Bank Limited and co-led by NMB Bank Limited, Machhapuchhre Bank, Hydroelectricity Investment and Development Company, Laxmi Sunrise Bank, Nepal Investment Mega Bank, Prabhu Bank, Nepal SBI Bank, NIC Asia Bank, Krishi Bikas Bank, Lumbini Bikas Bank, Sangrila Development Bank, Kamna Seva Bikas Bank and Co-financed management with ICFC Finance Limited. The project to be constructed at a cost of around 41 billion 600 million rupees will be carried out with a ratio of 70 percent debt and 30 percent equity. The necessary financial preparation and due diligence study of the project have also been completed. The hydropower project will be based on a Peaking Run-of-River (PROR), with a peaking capacity of 4.5 hours. The promotor company has already received a power generation permit, having signed a power purchase agreement with the Nepal Electricity Authority. Moreover, electricity generation from the plant will be started on or around mid-July, 2030. The total length of the access road required for the project will be 25 kilometers. The cost per megawatt of the project will be approximately Rs. 192.5 million.
