Local bodies, FNCCI join hands for hydro projects

REPUBLICA KATHMANDU, May 13: Representatives of local bodies and private sector on Wednesday signed a letter of understanding to jointly promote small and medium-scale hydropower projects in rural areas. Representatives of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI), Federation of District Development Committee, Nepal (FDDCN), Municipalities´ Association of Nepal (MuAN) and National Federation of Village Development Committees (Nepal) have agreed to join hands for the purpose. FNCCI chairman Kush Kumar Joshi and FDDCN chairman Rishi Raj Lumsali signed the agreement. “In the beginning, electricity will be generated in 45 hilly districts and at least 300 villages will be electrified,” said the letter of understanding. They will promote hydropower projects generating at least one to five megawatts of electricity in each district. Hydro Solutions Private Limited and other companies will study technical sides of potential projects and submit proposals within a month. Speaking at the function, Joshi demanded that the government entrust local bodies with an authority to issue survey and generation licenses for hydropower projects generating upto 10 MW energy. “Technology and other expertise needed to promote hydropower projects up to 1 MW is available in our own country,” Joshi said, adding, “We have no problem to make financial arrangement for small and medium-size hydro projects either because funds with VDCs, DDCs and other bodies have remained idle or they are being invested in unproductive sectors.” Joshi also said that enough money from remittance, soft loans and other sources can be invested in a lucrative sector like hydro projects. After returning from Norway during Prime Minister Pushpa Kamal Dahal´s visit, private sector delegates had said that such projects were in the pipeline under Norwegian support.
Published on 2009-05-13 19:11:31 http://www.myrepublica.com/portal/index.php?action=news_details&news_id=5006