- Nepal incurring Rs 65 billion loss from delay in Pancheshwar
- PM to discuss the report Wednesday
"We will encourage the prime minister to urge India to give high priority to Pancheshwar as the country is incurring heavy loss due to the delay caused in this project," Dilli Bahadur Singh, the Pancheshwar project manager in Kathmandu, said.
As per the report, Nepal alone is losing almost Rs 65 billion annually due to the delay in bringing into operation the multipurpose project signed as part of the Mahakali River Treaty thirteen and a half years back.
On the electricity generation front alone, Nepal is incurring an annual loss of Rs 45.88 billion. Likewise, in the fishery and irrigation segments, the country is bearing an annual loss of Rs 16 billion and Rs 6.69 billion respectively.
According to Singh, if carbon trading credit facility could be utilized, Nepal could make up to Rs 4.42 billion per year. In the tourism sector, the report claims, the country could gain Rs 6-7 billion. Likewise, from herbal plant development through effective water management plan a profit of Rs 1-2 billion could be incurred.
"With its vast market, the benefit for India is comparatively high," Singh said, adding, "Going by the feasibility of the project and long-term gains for both the countries, it is high time the two sides resolved all differences and moved ahead on a win-win approach."
India has already agreed to establish the headquarters of Pancheshwar Development Authority (PDA) in Kathmandu. However, no agreement has been reached on who will head the PDA. Nepal has proposed that the PDA chief be appointed on the basis of competition. Minister for Energy Dr Prakash Sharan Mahat has lately held two rounds of meetings with Indian ambassador to Nepal Rakesh Sood in this regard.
The opposition Unified CPN (Maoist) has, however, shown strong opposition to inclusion of Pancheshwar in the PM´s agenda for Delhi visit. Maoist Chairman Pushpa Kamal Dahal has urged the PM not to agree on executing Pancheshwar without sorting out water-sharing issue. Dahal, however, during his visit to India in the capacity of PM last year had encouraged India to expedite the Pancheshwar project.
The private sector power developers have also urged the government to reach a high-level understanding on Pancheshwar. "In order to formulate the modalities, the terms of reference needs to be finalized soon," Gyanendra Lal Pradhan, a hydropower expert, said. Referring to the delay in going ahead with the Detailed Project Report (DPR) of the project, Pradhan said, "The two sides have to now go to the field. At least during this visit, all issues relating to establishing the PDA must be settled."
Pradhan, however, added that much will depend on the security situation on ground for the Indian government to give nod to its investors here. "Until the government does not guarantee security to the Indian investors, it will be difficult to convince the Indian side to work on Pancheshwar project," he added.
akanshya@myrepublica.com
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