Civil Insight: A Technical Magazine Volume 3 | Page 78

Civil Insight (2019) An interview with Er. Kumar Pandey the only nation in this region to have such a private-sector contribution to electricity generation in the national system. However, no one should think this has been easy. The addition of every Kilowatt has been a challenge. One must note that the projects that are presently generating were built through the internal conflict, through the long political transition process, through the great earthquake and the economic blockade. These projects saw social, political and financial challenges. But they were somehow able to overcome those challenges and are now generating electricity. There are new challenges every day be it social, political, financial, or technical. In the days to come, the major challenge will be that of a market for generated energy. Beyond that, we will have challenges in finance and transmission capacity. Federalism will pose new challenges as we continue to navigate the nuances of local governance. And there will be many other challenges we will continue to face. With the help of the government and our own resolve to succeed we should be able to sort them out. Nepal’s future prosperity lies in its ability to develop and export energy. I strongly believe that Nepal’s energy must meet its needs first. It must create jobs here; it must support industry and commerce, and it must be used to improve the living standard of the people of Nepal. Our energy must replace imports of petroleum products and other fossil fuels as well as contribute to the preservation of our forests. We need to be an energy-secured nation. The amount of energy that we cannot consume can be useful for our neighbors, who also desire clean energy. Burning coal or other fossil fuel in our neighboring countries will impact us tremendously. It will affect the environment and attribute to climate change in the country. I would say we have made historic progress in the last 20 years in the generation of hydropower. But the future is challenging. Exporting electricity has huge legal, administrative, political, and technical challenges, not to mention the financial hurdles. It requires cooperation and coordination among several agencies within the governments of the region. Trading of electricity requires physical connectivity between trading partners. Most importantly, it requires us to be able to generate energy at competitive rates to compete with other energy producers. These are not easy obstacles to overcome, and yet, we have no choice but to move ahead accepting these difficulties. Our government must opt for surmountable ways within its power and purviews to resolve these issues. We, the private sector, must work in a hard and smart way to be more efficient and produce electricity at competitive prices. Q) Does Nepal need to focus more on developing additional hydropower projects, or should we place emphasis on demand- and supply-management of the prevailing hydroelectricity capacity? I think, for the present, managing our demand and supply and expanding and upgrading our distribution networks need to be a priority. This has been neglected for a long time. But we also need to continue to augment supply. Remember, it takes almost 10 years to start generation from the time we start studying a river section. Never forget that initiating the study of a river today will provide energy only 10 years later. Therefore, we should not reduce investment in hydropower studies for generation, as the demand nationally and regionally after 10 years can be very high, probably much more than what we can imagine today. Q) The contribution of private sector in hydropower development has been significant. As the Vice President of IPPAN, how would you like to elucidate the ease of developing a hydropower project in Nepal? What are the common problems that the private producers face? IPPAN members take great pride in being able to serve our country and to move towards being an energy-secured nation. We have been active for about two decades. Nepal might be Q) What are your views on the BOOT policy currently adopted for hydropower development in Nepal? Do you think it needs 78