India’s public sector hydropower major SJVN signed an agreement with the Investment Board of Nepal for the development of 679 MW Lower Arun Hydroelectric Project.
The project has been allocated through international competitive bidding, said SJVN Chairman and Managing Director Nand Lal Sharma.
The Lower Arun Hydroelectric Project is located in Sankhuwasabha and Bhojpur districts. It will not have any reservoir or dam and will be a tailrace development of 900 MW Arun-III project.
The project will have four francis type turbines. On completion, they will generate 2,970 million units of electricity per annum. The project is scheduled to be completed in four years after commencement of construction activities.
The project has been allocated to the SJVN for 25 years on a build-own-operate-transfer (BOOT) basis.
SJVN, a joint venture of the Central and the Himachal Pradesh governments, started its business in Nepal in 2008 by signing a pact for the implementation of 900 MW Arun-III project.
Sharma said the 900 MW Arun III project has achieved significant progress in the last three years despite the Covid-19 pandemic. To mitigate delays, SJVN has implemented acceleration plan and is committed to commission this project ahead of schedule.
The SJVN’s present installed capacity is 2,016.51 MW and it aims to be 5,000 MW company by 2023, 12,000 MW by 2030 and 25,000 MW company by 2040.