The government-owned National Broadcasting Grid Company Limited (RPGCL) has finalized the investment modality for the construction of the West Seti transmission line in the public-private partnership (PPP) model. 

Now, a special purpose vehicle (SPV) company will be established to construct the West Seti transmission line, with 49 percent shares of the private sector and 51 percent of the government body. RPGCL Chief Executive Officer Sagar Shrestha said that the construction of the 400 kilovolt (kV) West Seti transmission line will be taken forward from the same company. 

RPGCL had sought a letter of intent on 23 Poush 2082 for the West Seti transmission line to be constructed in Bajhang-Banlek-Dododhara, with the company seeking investment from the government body for 51 percent and the private sector for 49 percent. 

RPGCL had earlier sought a letter of intent on 23 Bhadra 2082 as well. Shrestha said that the notice was canceled after there was a dilemma over how to select after many proposals were received. He said that the Electricity Transmission Project Investment Partnership Procedure, 2082 was immediately issued and a notice was issued again in Poush and a letter of intent was sought for investment. 

He said that the Electricity Transmission Project Investment Partnership Procedure, 2082 was immediately issued and a notice was issued again in Poush and a letter of intent was sought for investment. As per the information sought, Samriddhi Energy Limited, Ngadi Group Power Limited, Sagarmatha Hydropower Company, Siuri Nyadi Power Limited, Mata Malika Energy Multiple Pvt. Ltd., Surma Sarovar Hydropower Pvt. Ltd., Chilime Hydropower Company Limited and Chainpur Seti Hydropower Company Limited had submitted their letters of intent for investment. RPGCL said that after evaluating the technical and financial proposals, 5 companies, including the government, were selected to invest in the transmission line project.

On the private side, Samriddhi Energy Limited has 35.1 percent, Siuri Nyadi Power has 6.9 percent, and Ngadi Group Power has 7 percent. On the government side, Chilime Hydropower Company, a subsidiary of Nepal Electricity Authority, will have 12.5 percent, Chainpur Seti Hydropower Company will have 12.5 percent, and RPGCL will have 26 percent shares.

Shrestha said that preparations are underway to sign an agreement between six companies, including the private and government. After the agreement, he said that a special purpose vehicle (SPV) company with a share structure of 49 percent for the private sector and 51 percent for the government body will be registered. ‘For the first time, the private sector has also been opened to the construction of transmission lines, and it will be built on the PPP model,’ he said, ‘We are moving forward to start the construction of transmission lines in the coming fiscal year after completing the establishment of the company.’

According to the RPGCA, the six companies will proceed with the construction of the transmission lines by raising 30 percent equity and 70 percent debt. "The Paschim Seti transmission line has attracted investment of Rs 6 billion, including private and government investment, and we are looking for a loan of the remaining Rs 14 billion," he said. A 145-kilometer transmission line of 400 kV and two substations will have to be constructed in the Paschim Seti transmission line. A 60-kilometer transmission line from Bajhang to Banlek and an 85-kilometer transmission line from Banlek to Dododhara will have to be constructed. 

A 400/132 kV GIS substation will have to be constructed in Bajhang and Doti. A 160 megavolt-ampere (MVA) capacity substation with a transformer will be constructed in Chainpur and a 315 MVA capacity substation in Banlek, according to the notice issued by the company. The company has estimated the cost to be around Rs 20 billion. 

The transmission line will reach the Dododhara substation in Bardagoria Rural Municipality-3 of Kailali via Chainpur Substation in Jayaprithi Municipality-1 Hammersen in Bajhang, Shikhar Municipality-10 in Banlek, and Bardagoria Rural Municipality-3 in Kailali. RPGCL has completed detailed engineering and environmental studies of the Chainpur-Banlek and Banlek Dododhara transmission lines and the 400 kV West Seti Corridor transmission line with Chainpur and Banlek substations.

An agreement has been reached between various organizations to develop hydropower and construct a 400 kilovolt (kV) transmission line in the West Seti Corridor. On 5th July 2005, during the tenure of former Energy Minister Deepak Khadka, a mutual agreement was signed between Hydro Electricity Investment and Development Company Limited (HIDCL), National Transmission Grid Company Limited, Chainpur Seti Hydropower Company Limited, Chilime Seti Hydropower Company Limited and Samriddhi Eng Limited with the objective of collaborating in the construction of hydropower projects and transmission infrastructure under the West Seti Corridor.

According to the agreement, there will be multilateral cooperation in the construction, mobilization of financial resources and operation of the 400 kV Bajhang-Nilegada-Dodhara cross-border transmission line and the 210 MW Chainpur Seti, 87 MW Seti River-3 and 216 MW Upper Seti hydropower projects connected to the line. Once the SPV company is established, HIDCL will lead the financial management of the projects.

87 MW Chilime River-3, 210 MW Chainpar Seti, 216 MW Bajhang Upper Seti, 25.05 MW Sunigad and Upper Sunigad, 46 MW Super Seti, 60 MW Badimalika, 60 MW Nyadi, 21.92 MW Bajhang Cluster, 54 MW Mahakali Seti, 72 MW Tapovan Seti, 9.84 MW Kalangad A, 12 MW Super Sunigad, 4 MW Lower Sunigad, 51.50 MW Ghatganga, 31.50 MW Syanban Khola, 16 MW Super Kalanga Khola, 9.60 MW Lower Seti (Bajhang), 15.33 MW Upper Kalangad, 10.70 MW Sunigad, 3 MW Lower Sunigad, 8 MW Lower Kalangad, 7.3 MW Madhya Kalangad, It has been proposed that the electricity from the 1902 MW Mugu Karnali, 300 MW Balanch, 800 MW Paschim Seti and 20 MW Budhganga Hydropower Projects will be connected to the 400 KV Paschim Seti transmission line.

The Nepalese government, which had proposed the construction of the project in 2080, did not receive a positive response from India. The government had tried to construct the Paschim Seti transmission line using a concessional loan from the Government of India. The Nepalese government, which had proposed the construction of the project in 2080, did not receive a positive response from India, but the construction of the project became uncertain. On December 11, the Ministry of Finance wrote to the Ministry of Energy, Water Resources and Irrigation, stating that no response had been received from the Government of India regarding the use of a concessional loan.