A high level team of government officials inspected the 40 MW Rahughat Hydropower Project in Myagdi of Gandaki Province on Sunday.

Managing Director of Nepal Electricity Authority Hitendra Dev Shakya with the Secretary of the Ministry of Energy, Water Resources and Irrigation Suresh Acharya and Indian Ambassador to Nepal Naveen Srivastava inspected the project and discussed with project officials the progress of the project and construction work.

The project is being constructed by Raghuganga Hydropower Limited, a subsidiary of Nepal Electricity Authority.

The project, which has a total estimated cost of Rs. 9.17 billion, has been accelerated by obtaining USD 67 million as a concessional loan from EXIM BANK OF INDIA, while the remaining amount has been jointly invested by the government and the Authority.

According to the NEA, the team held discussions with concerned bodies of the project at the project construction site itself regarding the progress of the project, the condition of the work site, the problems encountered while working on the site, and the facilitation needed to complete the work on time.

The target is to complete the project by mid-July 2026. The construction work of the project has been divided into two lots, namely civil and hydromechanical work, and electromechanical work. A contract agreement has been signed with the contractor Jaiprakash Associates Limited, India for hydromechanical work and work is currently under way.

The civil work includes dam, intake, desander, tunnel, surge shaft, pressure shaft, power house and other works. So far, about 81 per cent physical progress has been made under the civil work, said the NEA.

For electromechanical work of this project, a contract agreement has been signed with the contractor Bharat Heavy Electrical Limited, India and electromechanical related work is being carried out.

Under the electromechanical work, the supply and installation of equipment, including turbines, generators and transformers are being carried out. So far, the progress of the electromechanical work is about 50 per cent.

The electricity generated from the project will be connected to the national grid through the Dana-Kushma 220 kV transmission line.

After the project is completed, it is expected to make a significant contribution to solving the problem of energy supply and to contribute to the proper utilisation of local resources and national economic and social development.