Wednesday, April 30, 2014

Investment Board of Nepal floundering for failure to recognize Nepal's requriement

Dr Prof. Mohan Lohani

Dear Prof Lohani

The very day you sent following email, Radhesh jee's article was published in Kantipur where he said that Nepal will not be able to "consume" electricity generated. I wonder if he is demonstrating his ignorance of nepal's requirement of electricity. His interview broadcast by BBC Nepali Sewa this morning was also more of the same.

My back of the envelope calculation shows that Nepal needs 2,700 MW (a ballpark number) for 100% electrification this year itself as peak demand for 40% of population, connected to the national grid last fiscal year was 1,094 MW. Additionally, in order to generate employment for 3 million youth that have emigrated another 1,000 MW would be needed for industrialization. Similarly 500 MW is needed for electrification of transportation to mitigate balance of trade and payment deficit. Further, just to displace LPG from urban, semi-urban and peri-urban kitchens another 1,000 MW would be required. In sum even without planning to displace firewood from rural kitchens (which would have been highly over-ambitious but very essential to ensure good health of rural homemakers), Nepal could have used 5,200 MW (a ballpark number) this year itself. In 5 years' time the requirement will exceed 10,000 MW. Therefore, it is criminal on the part of hydrocrats like him to plan to export power depriving Nepal’s economy and Nepali people from much needed power.

Going the way he has been going about saying, he is likely to ask where is the market in Nepal an important thing to remember is: it is for IBN to develop market by mobilizing investment for industries electrification of transport , etc. However, he does not seem to be aware of this function of his.

Besides, Upper Karnali should be built as a reservoir project in order for Nepal to benefit from multidimensional uses of water; not just to produce flood energy that too for export. We seem to have failed to educate him in this respect.

i am talking about electrification of transportation and he is happy talking about fast track connection to Tarai which is national disgrace for Nepal (not national pride as publicized by Dr Babu Ram Bhattarai) as Nepal doesn't produce a drop of petroleum product. if he is a true patriot like his late father Dr Yadav Prasad Pant he would arrange to mobilize investment for electric train up-to Inland Container Depot in Birgunj, thus arranging market for electricity produced in Nepal and also to mitigate balance of trade and payment deficit to an extent.

With best regards,


Ratna Sansar Shrestha

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