India welcomes Nepal-Bangladesh electricity trade as first export begins

Kathmandu, November 15 – Following the commencement of electricity exports from Nepal to Bangladesh, India has welcomed the development. On November 15, the inauguration of the export of 40 megawatts of electricity from Nepal to Bangladesh took place.

The inauguration was conducted virtually by the energy ministers of the three countries. As of the inauguration, 40 megawatts of electricity will be exported from Nepal to Bangladesh until midnight tonight.

This marks the official beginning of electricity trade between Nepal and Bangladesh. India's Ministry of External Affairs issued a statement, noting that this development will play a role in enhancing regional energy connectivity.

"The first trilateral electricity trade uses India's transmission system. As per the agreement between the three countries, Nepal's electricity will reach Bangladesh smoothly via India. India is always ready to assist in regional electricity trade through transmission lines," the statement said.

India has expressed confidence that the Nepal-Bangladesh energy trade, along with its support, will contribute significantly to regional trade, connectivity, and economic development.

The electricity being exported to Bangladesh will come from two hydropower projects: the 25-megawatt Trishuli project and the 22-megawatt Chilime hydropower project, both constructed with Indian cooperation. These projects have already received approval for electricity export to India.

According to the trilateral agreement between Nepal, India, and Bangladesh, electricity exports from Nepal to Bangladesh will continue from June 15 to November 15 each year. However, after today's export, no further electricity will be exported in 2024.

Exports will resume from June 15, 2025, as confirmed by the Nepal Electricity Authority (NEA). The NEA clarified that today’s export is just the beginning, and regular exports will begin in June next year.

The NEA will receive the electricity price at the Muzaffarpur point in India. The technical losses on the transmission line from Dhalkebar to Muzaffarpur will be borne by the NEA. From Muzaffarpur, the electricity will be transmitted via India’s Baharampur-Bheramara 400 kV transmission line to Bangladesh.