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सेमिनार: अंग्रेज़ी सीखने का अवसर (23 सितंबर: दोपहर 3 बजे)
Electric Power Trade, Cross-Border Transmission Interconnection and Grid Connectivity Agreement with Nepal
Oct 04, 2014

The Union Cabinet gave its approval for the India-Nepal Power Trade Agreement (PTA), Cross-Border Transmission Interconnection and Grid Connectivity. The agreement will facilitate and further strengthen cross-border electricity transmission, grid connectivity and power trade between Nepal and India. Nepal is currently importing about 200 MW electricity from India annually. 

New cross-border transmission lines are under construction, which will more than double the transmission capacity, over the next two years. The agreement will also provide a framework for imports, by Indian entities, of surplus power generated from future hydroelectric plants in Nepal, on mutually acceptable terms and conditions.


The agreement has paved the way for a bilateral power trade, whereby energy produced in Nepal by any of the parties will be sold in India.  The proposal of the PTA was made by Nepal. The PTA is crucial for both sides to export and import electricity, fix the price and explore the market as Nepal and India need to do business over the long term. 


India had sent a draft Power Cooperation Agreement (PCA) to Nepal on May 9 which provided for power generation, production and trade, and offered full Indian cooperation in generation and production of hydro-electricity in Nepal. 


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