Energy Minister Khadka Urges World Bank to Finalize Upper Arun Hydropower Financing

KATHMANDU: Minister for Energy, Water Resources, and Irrigation, Deepak Khadka, has urged the World Bank to expedite the financial management process for the Upper Arun Hydropower Project, which has remained stalled due to delays in securing financing.

In a meeting with World Bank South Asia Regional Director Pankaj Gupta at the ministry on Thursday, Minister Khadka stressed that the 1,063 MW semi-reservoir project is in limbo because the World Bank has yet to finalize its financial commitment, which was originally expected a year ago.

According to Khadka’s secretariat, the delay is partly due to India’s interest in the project, which has made the World Bank hesitant to move forward.

In response, Regional Director Gupta assured that the World Bank considers the Upper Arun Hydropower Project a priority.

Energy Ministry Secretary Suresh Acharya, Joint Secretaries Chiranjibi Chataut, Sagar Raj Gautam, and World Bank Nepal Country Director David Sislane were present at the meeting.