SYLLABUS SECTION: GS III (BILATERAL TIES)
WHY IN THE NEWS?
India will be taking over an ambitious hydropower project in Nepal — West Seti Power Project — nearly four years after China withdrew from it.
- Nepal is rich in power sources with around 6,000 rivers and estimated potential for 83,000 MW
- India has formally approached Nepal on many occasions, seeking preferential rights,
- Over Nepali waters should it match offers coming from elsewhere.
- India is view as a feasible market for Nepal, but there has been some uncertainty in Nepal over India’s inability to deliver projects on time.
- The Mahakali treaty was sign back in 1996, to produce 6,480MW,
- But India has still not been able to come out with the Detail Project Report.
- The Upper Karnali project, for which the multinational GMR signed the contract, has not made any headway for years.
- India has undertaken to harness or express intent to harness major rivers in the north.
- Success in executing the 900-MW Arun Three project in eastern Nepal’s Sankhuwa Sabha, which is being execute by India’s Sutlej Vidhyut Nigam under a BOOT scheme, and whose foundation was laid in 2018 and which is set for completion by2023, has help built faith recently.
WEST SETI POWER PROJECT
- Estimate to cost Nepali Rs 104 billion (IndianRs6,500crore), the project is envisage to provide Nepal with 31.9% electricity-free.
- Nepal has a massive power shortfall as it generates only around 900MW against an install capacity of nearly2,000 MW.
- Although it is currently selling 364MW power to India, it has over the years imported from India
- After a standoff between Nepal and India led to the economic blockade of 2015, equations changed after last July, replacing Oli.
- The West Seti Project covers the far western Nepal region, where Deuba hails from. Completion of the project will be a gift to his electorate and the region at this advanced stage in his career in Deuba.
West Seti has the potential to be a defining model for Nepal and India’s power relations in the future.
Read more: UPSC CURRENT AFFAIRS
SOURCE: INDIAN EXPRESS