Minister Ghising for competitive PPA on hydropower

Kathmandu, Oct 15: Minister for Energy, Water Resources and Irrigation, Kulman Ghising, has urged the Electricity Regulation Commission to adopt a competitive power purchase agreement (PPA). Minister Ghising said a base rate could be prepared for the competitive and transparent PPA on the hydropower so that energy accessibility could be ensured. He said it while receiving a report from the Commission Chairman Ram Prasad Dhital. "There is a competitive base rate on solar energy, so the PPA is made on competition in a transparent manner. Similar method can be adopted in case of hydropower project," he reminded. Currently, Nepal Electricity Authority (NEA) is purchasing the solar energy on competitive price. The maximum rate per unit of electricity is Rs 5.94, while in case of hydropower, the PPA rate is Rs 4.80 per unit during the monsoon while Rs 8.80 per unit during winter. The Commission officials are also asked to make regulation further effective. Promotion of private sector is also stressed by the Minister.