The government is set to develop the 328.10-megawatt Bharbung reservoir-based hydropower project in Dolpa, with an estimated cost of Rs 103.31 billion.

The project is being promoted by the Department of Electricity Development and will affect areas of Chharka Tangsong Rural Municipality wards 4 and 5 and Kaike Rural Municipality ward 1 in Dolpa district.

Under the Bharbung reservoir system, a 169-metre-high dam will be constructed in Chharka Tangsong–4. The project also includes a 766.1-metre diversion tunnel, intake structures, and a 16-kilometre headrace tunnel. An underground powerhouse and tailrace tunnel will be built in Chharka Tangsong–4 and Kaike–1.

Some areas of Chharka Tangsong–5 will be submerged due to the reservoir.

Water diverted from Tatu Khola will be released into the reservoir to be built on the Bharbung River. The two systems combined are expected to generate 933.195 gigawatt-hours of electricity annually.

The project, which utilizes water from the Bharbung River and Tatu Khola, is currently in the approval stage of its Environmental Impact Assessment (EIA) report. Physical structures of the project will be located within Chharka Tangsong and Kaike rural municipalities.

Out of the total cost of Rs 103.31 billion, the project has earmarked Rs 600,000 as environmental enhancement cost, while environmental mitigation cost is estimated at Rs 12.42 million and environmental monitoring cost at Rs 7.8 million. Including land acquisition, plantation, and corporate social responsibility activities, the total environmental cost is estimated at Rs 2.44 billion.

The cost of land acquisition for the project is estimated at Rs 1.95 billion for government land and Rs 2.996 million for privately-owned land plots.