Nepal has been importing electricity from India every year to meet its domestic demand as the flow of water in rivers and streams decreases during winter, reducing electricity production. Recently, India has renewed Nepal's permission to import 654 MW of electricity at competitive rates under the Indian Energy Exchange (IX) until 17 Chaitra. This will be effective only until next Tuesday. India will have to renew the permission again to import electricity through IX from Wednesday.

The NEA has been allowed to import 654 MW of electricity at competitive rates, including 600 MW through the Dhalkebar-Muzaffarpur 400 kV transmission line and 54 MW from Tanakpur-Mahendranagar. So far, India has not sent information about the renewal, NEA spokesperson Rajan Dhakal said.

'Every time it is renewed only at the last moment when the deadline is about to expire. The same is happening this year too,' Dhakal said. However, the NEA is unaware of whether India will renew the import permission in RTC mode or in solar hours when it renews the import permission.

The Authority has been importing 400 megawatts of electricity on average. The Authority has stated that the demand for electricity in the country has been increasing since the onset of summer in Nepal as the use of electrical appliances has increased. When India allowed the import of electricity in winter in Mangsir 2081, it allowed only 20 hours a day until Chaitra 2 and only solar hours (6 am to 6 pm) from Chaitra 3 to Ashar 16, 2082. 

The Authority has been importing electricity for 12 hours a day since Chaitra 3, 2081, but on Chaitra 15, it was allowed to import electricity for 16 hours a day. After that, electricity was imported from 6 am to 5 pm and from 11 pm to 4 am. Dhakal says that the question now is how to do it with the renewal of the permit.

In Baisakh, partial power cuts were imposed on the industry when electricity was not received from India as per demand. The NEA itself had said that electricity could not be obtained from the 132 kV line connected to Bihar despite maximum efforts due to the increased demand during the ongoing IPL in India, as the IX rate was higher than the PEC rate. 

The NEA had issued a statement saying that Nepal could not buy as much electricity as it wanted due to the high demand in India due to various reasons including the Indian Premier League (IPL), rising temperatures, etc. This time too, the IPL has started in India from Saturday. On the other hand, demand has also increased in Nepal. The demand, which was 1,862 MW on Falgun 11, has reached 1,908 MW on Chaitra 11. 

The NEA has been importing an average of 400 MW of electricity. Since the onset of summer, the NEA has stated that the demand for electricity in the country is also increasing as the use of electrical equipment has increased in Nepal. Experts say that the government has no option but to move forward with reservoir and semi-reservoir hydropower projects, saying that energy security is a challenge during the dry season. 

The NEA has been purchasing electricity through competition in the IX day-ahead and real-time markets. Accordingly, the day before the purchase, there is a 'bidding' with the price and quantity. The NEA had entered into an agreement with India's Power Trading Company (PTC India) through a bilateral agreement to purchase 180 MW of electricity at Rs 6.95 per unit. This was for January 2026 to May 31. Despite the controversy surrounding this agreement, the NEA has been importing electricity. 

In an informal conversation with India, the Ministry of Electricity had informed that the import permit for the month of April had been renewed, but the letter had not arrived by Friday, NEA Executive Director Hitendradev Shakya said. 'It is said that the RTC has renewed it for April,' he said, 'We will know only after the letter arrives.' Shakya said that up to 70 MW was exported on Saturday during other times except peak hours. "We are exporting electricity on Saturday as the river flow has increased due to the rain," he said, "We are importing only during peak hours."

The 17th meeting of the Nepal-India Electricity Exchange Committee (PEC) has fixed the rate of electricity purchased through the 132 kV transmission line at 8.22 rupees (13 rupees 15 paise) per unit, 8.91 rupees (11 rupees 58 paise) per unit at 33 kV and 9.55 rupees (15 rupees 28 paise) per unit at 11 kV. Nepal will be able to import 350 megawatts of electricity through the PEC. The Authority expects to further strengthen Nepal's electricity supply management during the dry season in the months of Chaitra-Baisakh. 

The Authority had issued two notifications to import electricity at open competitive rates keeping in mind this dry season. The Authority had invited proposals on January 19 to purchase 100 megawatts of electricity from India for this dry season. The authority had sought proposals at a rate not exceeding Rs 6.60 per unit from February to March and Rs 6.90 per unit for April and May. Although a notice was issued asking for applications by January 28, no proposals were received at that time.

The authority has been importing electricity as per the system's requirements during the dry season. Therefore, the authority had sought proposals on February 13, stating that it would purchase 100 MW of electricity for the months of April and May. At that time, the authority had said that proposals should be submitted by February 22. However, the authority amended the notice on February 21 and set the deadline for February 27. Although the authority had specified that the per unit rate of electricity purchased from April 1 to May 31 should not exceed Rs 6.90, no proposals were received.