SJVN on Monday signed a memorandum of understanding (MoU) for the development of the 490 MW Arun-4 hydropower project in Nepal in the presence of Indian Prime Minister Narendra Modi and Nepal Prime Minister Sher Bahadur Deuba.
This historic MoU was signed by Nand Lal Sharma, SJVN chairman, and managing director, and Kulman Ghising, managing director of Nepal Electricity Authority (NEA).
Speaking on the occasion, Sharma said that the 490 MW hydro project will be developed in joint venture mode by SJVN and NEA in which SJVN will be the majority stakeholder. The construction of this project upstream of the Arun-3 hydropower project will generate around 2,100 million units of energy per annum.
The estimated developmental cost of this project which is situated in Sankhuwasabha District Province-1 of Nepal is Rs 4,900 crore.
The signing of this MOU is a landmark step towards achieving India-Nepal Joint Vision on Power Sector Cooperation.
Besides, this will be the third Mega Project to be constructed in Nepal by SJVN, in addition to the already under construction 900 MW Arun-3 and 669 MW Lower Arun which are in the survey and investigation stage, he added.
He stated that with the signing of this MoU, SJVN now has three projects of a total 2,059 MW portfolio in Nepal.
He further reiterated his resolve of SJVN targeting 5,000 MW Projects in Nepal by 2030.
He expressed satisfaction that this novel concept has been accepted by the Nepal government as well as in India and by the state governments of Himachal Pradesh and Arunachal Pradesh.
The projects being developed by SJVN in Nepal will result in the overall development and boost mutual economic growth in India and Nepal.
The infrastructural development related to project activities would ensure the overall socio-economic development of the region. In addition to these three hydro projects in Nepal, SJVN is also constructing a 217km 400 kV associated transmission system for evacuation of power, he further added.