Kathmandu. Gadulla Hydropower Company is constructing Jagdulla Hydropower Project in Dolpa district. The company has expedited the construction of the 106 MW project.
According to Sanjaya Sapkota, chief executive officer of Jagdulla Hydropower Company, the project is preparing the foundation for improvement of socio-economic development in Karnali Province, infrastructure development and expansion of regional economic activities.
The project implemented under ‘People’s Hydropower Programme’ of the Ministry of Energy, Water Resources and Irrigation is a model project of the country being constructed with government ownership, local participation and domestic financial resources.
According to CEO Sapkota, the company is developing two semi-reservoir projects in Jagdulla and Mudkechula rural municipalities of Dolpa. The company has 106 MW from Jagdulla Hydropower Project and 124 MW from Jagdulla-A Hydropower Project. A total of 230 MW, including 35 MW. The project has set a target to generate 35 MW.
According to Sapkota, apart from power generation, the project has significantly contributed to the infrastructure development of Dolpa. “The company has already constructed a 100-meter long cemented bridge over the Bheri River, opened a track on a difficult cliff along the Triveni-Mudkechula-Jagdulla road section and installed 10 bailey bridges along the access road in course of promoting the project. Chief Executive Officer Sanjay Sapkota said, “These infrastructures constructed in millions of rupees have directly benefited not only the project but also the locals.” In the past, the compelling to walk for hours has been removed and access to transport has become easier. The transportation situation of Dolpa has also changed significantly due to the project. Until some years back, it used to take more than three days to reach Dolpa from Nepalgunj and the movement was almost obstructed during the rainy season. Now it is possible to travel in a single day. An environment has been created for the operation of night bus service from Dolpa’s headquarters Dunai to Kathmandu. ’
According to him, the infrastructure created along with the construction of the project is expected to have a long-term impact on tourism sector as well. The tourism potential of Karnali State is expected to be further enhanced with the development of alternative and shorter routes to Rara Lake, Shey-Phoksundo Lake, Jagadulla Lake, Upper Dolpa, Jumla and Mugu. The project’s contribution is also expected to be significant from the economic point of view.
After the completion of the project, the federal government will receive Rs 195 million as royalty, the provincial government Rs 95 million and the local level Rs 95 million as royalty. It is believed that this will help in strengthening the local economy.
Detailed engineering study, environmental impact assessment, land acquisition, power purchase agreement (PPA), financial management, generation license and industry registration have been completed. The physical construction work of the project has formally moved ahead after the agreement was signed with the main construction company on August 11, 2002.
The detailed engineering study of the 124.35 MW Jagdulla-A project has been completed while the process related to environmental study, land acquisition, PPA, financial management and licensing has reached the final stage. The project, which was surveyed, designed and estimated by Nepalese engineers through NEA Engineering Company, a consultant of Nepal Electricity Authority (NEA), is the first hydropower project to be built under majority ownership by government agencies.
The government bodies, the Karnali Province government and local governments together have 51 percent share in the company, while the general public has 49 percent share. Similarly, 10 percent share has been reserved for the locals and 3 percent share will be given to the landowners falling within the right of way of the transmission line. This is probably the first time such a model has been implemented in Nepal. Another important aspect of the project is its financial structure.
