Nepal and India to Jointly Build Two New Cross-Border Transmission Lines

The government has clarified that the Nepal Electricity Authority (NEA) will directly benefit from the construction of two new cross-border transmission lines to be jointly developed by Nepal and India.

An agreement has already been signed between the two countries to build two additional 400 kV transmission lines — the Inaruwa–Purnia line and the Dododhara–Bareilly line — aimed at strengthening electricity trade and grid connectivity between the two nations.

According to Sandeep Kumar Dev, Joint Secretary at the Ministry of Energy, Water Resources, and Irrigation, a joint venture company will be formed between NEA and Power Grid Corporation of India Limited to execute the projects. Under this arrangement, NEA will hold a 51 percent share in the section of the transmission line constructed within Nepal, while it will have a 49 percent stake in the section built within India.

The ministry emphasized that the development of these transnational transmission lines is a key priority for ensuring a reliable market for the surplus electricity generated by Nepal’s hydropower projects. The initiative is expected to enhance energy cooperation, improve cross-border power trade efficiency, and support Nepal’s goal of becoming a major exporter of clean electricity to neighboring countries.

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