Energy promoters have said that the water resources and irrigation department has not given a recommendation that the proposed solar power project survey and construction area should not fall within irrigable land and parks and reservation areas. According to the promoters of solar energy, they have not received the letter even after a month of sending the letter to the department according to the project.

Grid connected alternative electricity development procedure, 2078, even though it was asked from the irrigation department or the ministry of the province, the promoter says that the electricity development department asked for a letter from both.

According to the Department of Electricity Development, both are requested because the state has information about water resources and irrigation and the state's projects about the irrigation projects that have been completed and are under construction from the central government. According to the department, there is a delay in issuing the recommendation letter due to the conflict between the arrangement of the grid connected alternative electricity development procedure and the Irrigation Master Plan (updated 2024).

On January 23, a meeting chaired by the Director General of the Irrigation Department, Devraj Niraula, decided to request the Ministry for the necessary instructions as there were doubts about the department's recommendation that irrigable land should not be included in the proposed project area in accordance with the grid connected procedure. 

"Grid Connected Alternative Electricity Development Procedure, 2078 and Irrigation Master Plan 2019 (updated 2024) has been approved on June 10, according to the approved procedure, the land that can be irrigated by irrigation projects that have been completed and are under construction should be considered as the basis when giving recommendations," the decision states, As there is a ambivalence regarding the provision of recommendations from the department for purposes other than agricultural use (Procedures for Grid Connected Alternative Electricity Development, 2078, for electricity survey and construction of solar power projects), request the Ministry of Energy, Water Resources and Irrigation for the necessary instructions.' 

Niraula, Director General of Water Resources and Irrigation Department, said that a letter has been sent to the Ministry for a policy decision as there is a ambivalence on how to give according to the existing procedures and provisions in the master plan. 

'According to the arrangements made in the procedure and the master plan, there was a dilemma to give a letter to the promoter, for that we sent a letter to the ministry. But the answer has not come," Niraula said. "We had to accept the existing laws and regulations. After the ministry sends the letter, we will proceed accordingly. The irrigation department is waiting for the letter from the ministry. Sarita Dawadi, Secretary of the Ministry of Energy, Water Resources and Irrigation said that there was some delay as the relevant Joint Secretary went to the field. 

"The department had sent a letter to make it more clear, it was a little late because the joint secretary went to the field," Niraula said, "We will send the letter to the department within 2/3 days. That will be recommended by the department.' The solar energy promoter says that if the Irrigation Department does not recommend the survey permit, it will not be possible to participate in the Power Purchase Agreement (PPA) process within the time set by the Nepal Electricity Authority. 

"Even if a letter is given to the Irrigation Department, no recommendation is given, while the Power Development Department does not give the survey permit without taking that letter," said the promoter, "We should submit the survey permit and bond to the authority within February 15 and proceed with the further process." If you do not go within the specified period, the previous bond may also be wasted.

According to the data of the Electricity Development Department, 33 projects with a capacity of 683.7 megawatts have applied for survey permits from last May 12 to January 14. But till now no promoter has got survey license. Navinraj Singh, director general of the department, says that the license has not been issued because the documents and procedures to be submitted for the survey permit (license) have not been completed. 

"The documents and process to be submitted for the survey permit (license) have not been completed, so the permit has not been issued," he said, "After the process is completed, the permit will be issued." There is no reason not to issue a permit.

The authority called for proposals for 800 MW of solar energy last March. In that proposal, 134 companies submitted proposals equal to 3600 megawatts. Out of the proposals received, only 3492.5 MW of 127 companies were eligible for financial offerors through technical evaluation. Only 960 MW of 63 companies were selected from the financial proposal opened last October. According to the lowest price in the financial proposal and the capacity of the substation, it was selected for Power Sale Agreement (PPA).  Dhakal said that there is a system where more than 20 percent can be selected only by asking for

proposals. Accordingly, 63 companies with a capacity of 960 MW were selected for PPA. 

The authority had issued letters of intent to the selected companies on November 14. Within 90 days of the issuance of the letter of intent, i.e. February 15, the selected companies will have to submit a survey permit to the authority with a bond of Rs 6 lakh. The authority and the selected company will have to reach a conclusion by discussing the PPA draft within the next March 1. 

The authority should conclude a PPA with the selected company within one month of the submission of performance security by the company. Rajan Dhakal, the head of the electricity trade department of the authority, said that the promoter selected to start the process of the electricity sale agreement has not yet come with the survey permit. He said, "Survey permit and bond will have to be submitted within 90 days after the letter of intent is issued. No one has come yet." There is still time.'

According to the tender called for PPA for 25 years, projects smaller than 10 megawatts will have to provide electricity within 18 months and projects larger than that within two years. The Authority called for a proposal to balance the increasing electricity demand and electricity supply in Terai's load center. 

The project has been selected for PPA of solar projects to be built near 200, 132 and 33 KV substations owned by the authority. Since it takes a long time to build a hydropower project, but the solar project can be put into operation within a year and a half, grid-connected solar energy has been given priority to meet the growing demand for electricity in winter.