Kathmandu. Nepal Insurance Authority (NEA) today held discussions with independent power producers’ association, Nepal Insurance Association and reinsurance companies on contemporary issues related to hydropower sector insurance at nea’s central office, Kupandol.
The program was organized with the objective of finding solutions by discussing the problems and challenges faced in the hydropower sector regarding insurance, the issues raised by IPPAN and the views of Nepal Insurance Association and reinsurers in this regard.
Addressing the program, Executive Director of Nepal Insurance Authority Sushil Dev Subedi said that the initiative has been initiated to improve the deficiencies seen in the insurance of the hydropower sector and to make the service sustainable and better and reduce the cost.
Executive Director Subedi said that nea has taken serious note of the issues related to insurance in hydropower sector raised by IPPAN and pointed out the need to find a balanced point to solve the problems related to hydropower and insurance as well as business as well as the practice of other countries that have a social and economic environment like our country and have been developing hydropower.
Executive Director Subedi said the NRA would take initiatives to strengthen the internal mechanism for the construction of a separate insurance policy for the hydropower sector, increasing insurance awareness and resolving the problems related to insurance in the hydropower sector.
Nirmal Adhikari, Director of Nepal Insurance Authority, said that the program was organized with the objective of taking suggestions from the concerned stakeholders to solve the problems and challenges seen in the insurance of the hydropower sector.
On the occasion, the office-bearers of the AAB expressed their views on the removal of the existing insurance rate on the premium of hydropower sector, provision of fixing the insurance rate on the basis of demand and supply in the open market economy, and the creation of a separate insurance policy for the hydropower sector.
On the occasion, officials of Nepal Insurance Association and CHIEF Executive Officers of reinsurance companies said that international reinsurance companies have refused to re-insure the insurance of hydropower sector due to excessive risk in the hydropower sector in Nepal, due to excessive risk, even domestic reinsurers have not been able to re-insure in some cases, if the premium increases with the increase in the premium, there will be a situation in which the hydropower sector will not be able to re-insure in the coming days, to solve the problems related to insurance of the hydropower sector. He also expressed the view that it was necessary to construct an insurance bridge in the hydropower sector with the participation of all concerned.
Officials of Independent Power Producers Association, Nepal IPPAN, office-bearers of Nepal Insurance Association and CHIEF Executive Officers of reinsurance companies were present on the occasion.
