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  Rasuwa Emerging as Nepal’s ‘Energy Capital’ With 365 MW Hydropower Generation

Rasuwa district, which is emerging as a major hub for hydropower development, currently has nine nationally significant hydropower projects generating electricity. According to the Nepal Electricity Authority (NEA), a total of 365 MW of electricity from these projects has already been connected to the national transmission system.

For the first time in Nepal’s hydropower development history, the 20 MW Chilime Hydropower Project in Rasuwa was constructed using underground infrastructure. Based on the experience and technology gained from that project, subsequent projects have also been built using modern and safer designs.

The projects currently in operation include the 20 MW Chilime, 5 MW Lower Mailung Khola, 60 MW Upper Trishuli-3A, 14.8 MW Upper Sanjen, 42.5 MW Lower Sanjen, 111 MW Rasuwagadhi, 14.3 MW Upper Mailung, and 78 MW Sanjen Khola hydropower projects.

Similarly, the 20 MW Langtang Hydropower Project is currently undergoing production testing.

Production Declines During Dry Season

Electricity generation has been affected due to reduced water flow in Himalayan rivers during the dry winter season. According to Tharkabahadur Thapa, Director of the NEA Electricity Trading Department, current daily production has dropped to around 120,000 units.

He said production is expected to increase in the coming days as temperatures rise, snow begins to melt, and the monsoon season approaches.

The NEA stated that during the dry season it has been paying generating companies around Rs 24.1 million per month at the rate of Rs 8.40 per unit.

A Model District for Underground Infrastructure

Using the skills and technology learned from the Chilime project, most structures of the Rasuwagadhi Hydropower Project - except the dam - were also built underground.

However, after floods in the Lhende River on July 8, 2024, damaged the dam, permission for a power shutdown was granted for reconstruction work.

Likewise, projects developed by Sanjen Hydropower Company have also been constructed using semi-underground structures.

Additional 356 MW Under Construction

Three major hydropower projects are currently under construction in Rasuwa. Once completed, they are expected to add another 356 MW of electricity generation capacity, according to the NEA.

The under-construction projects include the 216 MW Upper Trishuli-1, 60 MW Phalaku Khola, and 120 MW Bhotekoshi hydropower projects. Construction progress on these projects has reportedly surpassed 50 percent.

According to former Executive Director of the Rasuwagadhi Hydropower Project, Madhav Prasad Koirala, once these projects are completed, Rasuwa alone will be capable of supplying 701 MW of electricity to the national transmission system.

Hydropower Transforms Local Life

Local residents say hydropower development has significantly improved roads, employment opportunities, infrastructure, and economic activities in Rasuwa.

After the first Chilime project came into operation, shares were distributed to local residents. Later, the Rasuwagadhi and Sanjen projects also provided shares to locals.

According to former District Development Committee Chairman Milan Tamang, hydropower projects have not only raised local living standards but also played an important role in the district’s economic and social transformation.

Babulaal Tamang, President of the Rasuwa Civil Society, said that projects in Rasuwa have played a major role in transforming Nepal from a country suffering from load-shedding into one capable of exporting electricity.

“Rasuwa, rich in water resource potential, is now increasingly being recognized as Nepal’s ‘Energy Capital,’” he said.

[ 17 May 2026 / nepalenergyforum.com ]   
 

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