First trilateral power transaction from Nepal to Bangladesh

Tags: International Relations

First trilateral power transaction from Nepal to Bangladesh 

Why in news?

• Union Minister for Power and Housing & Urban Affairs, Shri Manohar Lal, jointly inaugurated the power flow from Nepal to Bangladesh, alongwith Md. Fouzul Kabir Khan, Adviser, Ministry of Power, Energy and Mineral Resources, Government of Bangladesh and Mr. Dipak Khadka, Minister of Energy, Water Resources and Irrigation, Government of Nepal through a virtual event

Key points:

•  The Government of India had announced its decision to facilitate thefirst trilateral power transaction from Nepal to Bangladesh, through Indian grid with an export of upto 40 MW of powerduring the visit of the former Prime Minister of Nepal, Mr. Pushpa Kamal Dahal ‘Prachanda’ to India from 31 May to 3 June 2023.
• Subsequently, a tripartite power sales agreement betweenNTPC Vidyut Vyapar Nigam, Nepal Electricity Authority and Bangladesh Power Development Boardwas signed on 3 October 2024 in Kathmandu.

Significance:

•  This historic occasion marks the first trilateral power transactionwhich has been carried out through the Indian grid.
• The start of this power flow from Nepal to Bangladesh through India is expected to boost sub-regional connectivity in the power sector.
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