Construction Status of United Mewa Khola Hydropower Project (50 MW): 75 Percent Complete

The United Mewa Khola Hydropower project, under construction in Mewa Khola, Taplejung, has achieved approximately 75 percent completion. This hydropower project, with a capacity of 50 megawatts, is being built in Meringden Rural Municipality of Taplejung district. The construction work spans Wards 3, 4, and 5 of Meringden Rural Municipality.

About 75 percent of the powerhouse construction is complete, and various civil engineering tasks have also been finalized. However, the water diversion tunnel still has 522 meters left to be constructed.

The construction of this project commenced in Bhadra 2078 BS and was initially scheduled for completion by Ashoj 2081 BS. Although the project was initially targeted for completion within three years, allowing for electricity production, delays have made this timeline uncertain.

The project’s cost is estimated at Rs.9 billion. A consortium led by Citizens Bank International Ltd. has signed a co-financing agreement, including Kumari Bank, Mega Bank Nepal, Nepal Infrastructure Bank, Siddhartha Bank, Nepal SBI Bank, and Civil Bank. The total loan investment amounts to Rs. 7 billion, comprising Rs. 6.75 billion in term loans and Rs. 250 million in working capital loans.

The company is preparing to issue shares in the Initial Public Offering (IPO). Citizens Capital Ltd. has been appointed as the sales manager to facilitate the IPO issuance.

Once operational, the project is expected to produce 97.424 gigawatt-hours of electricity in the winter and 205.587 gigawatt-hours during the rainy season, totaling an annual output of 303.011 gigawatt-hours.

The generated electricity will be connected to the substation at Dhungesanghu under the Koshi Corridor of the Nepal Electricity Authority.