Nepal has received a loan worth $180m (£105m) to help tackle the nation’s crippling power shortages.
The Nepal Electricity Authority (NEA) will use the money to upgrade and expand transmission and distribution lines and substations, allowing the transfer of up to 2,000 MW of power to load main centres in the capital Kathmandu.
It is also expected to allow Nepal to export at least 1,200MW of electricity to India when a second transmission line is complete, the Asian Development Bank (ADB) said, which is providing the loan.
Lei Zhang, Energy Specialist with ADB’s South Asia Department said: “Right now, limited generating capacity and weak power transmission and distribution networks mean two thirds of households in Nepal have no electricity and many of those who are suffer power cuts for up to 12 hours a day during the dry season.”
This will also help the Alternative Energy Promotion Centre (AEPC) to enable hard-to-reach rural areas to receive electricity through renewable energy systems, including hydro, solar and wind generation.