October 15, 2020 | Investopaper
A financial agreement has been signed for the 25 MW Seti River Hydropower Project to be constructed in Machhapuchhre village municipality of Kaski. The promoter of the project, Vision Lumbini Energy Development Company, and the bank and financial institution have signed an agreement on multilateral financial assistance. NMB Bank will invest Rs. 2.20 billion, Employees Provident Fund Rs. 800 million and Agriculture Development Bank Rs. 500 million in the project with a total investment of Rs. 3.5 billion.
About 70 percent of the total cost of the project has been raised from banks and financial institutions and the remaining 30 percent (Rs. 1.5 billion) will be invested by the promoters. The total cost of the project is Rs. 5 billion. Apart from the reputed business houses of the main cities of Nepal, the locals of Machhapuchchhre village will also invest in the project as shareholders.
Jagat Bahadur Pokharel, executive chairman of Vision Lumbini Energy Company, informed that the main construction work of the project is targeted to be completed within the next two years. The generated electricity will be connected to Lahachok sub station of Nepal Electricity Authority.