The Joint Venture Company (JVC) formed by BPC and three Chinese Companies; Sichuan Provincial Investment Group Co. Ltd (SCIG), Chengdu Xingcheng Investment Group Co. Ltd. (CXIG), and Qing Yuan Engineering Consulting Co. Ltd. (QYEC), has acquired two more hydropower projects in the Marsyangdi Corridor to be developed in cascade with BPC’s Lower Manang Marsyangdi HEP. The JVC will develop three projects in Marsyangdi corridor viz. Manang Marsyangdi Hydro-electric Project (135 MW), Lower Manang Marsyangdi Hydroelectric Project (139.2 MW) and Upper Marsyangdi - 2 Hydroelectric Project (327 MW) as a cascade development model which sums up to the total capacity of 601 MW.

Manang Marsyangdi Hydro-electric Project (135 MW)

Manang Marsyangdi Hydroelectric Project (MMHEP) is located on the Marsyangdi River in Manang district of Gandaki Province of Nepal. The project area lies within the Annapurna Conservation Area (ACAP).

BPC holds 19.40% shares of Manang Marsyangdi Hydropower Company Ptd. Ltd, a SPV to develop and operate Manang Marsyangdi HEP. Ministry of Energy, Water Resources and Irrigation (MOEWRI) has issued the Generation License for 35 years period and PPA has been concluded with NEA at 135 MW. Contractor’s camp and access road improvements were proceeding, but progress was slowed due to delays in PDA and financial closure. As of now, the PDA has been signed with MOEWRI and, and financial closure with China Exim Bank has been completed. Sino Hydro Bureau 7 has been appointed as EPC contractor to carry out the construction works of the project. The full-fledged construction works is ongoing after financial closure. The project will be commissioned within two years.

Project Fact Sheet

Lower Manang Marsyangdi Hydroelectric Project (139.2 MW)

The Lower Manang Marsyangdi Hydroelectric Project (LMMHEP) is in the high Himalayan zone of Gandaki zone of Gandaki Pradesh in Western Nepal. The Project area lies within Annapurna Conservation Area (ACAP). The catchment area at the headwork of the project is 1,693 km2, with elevations ranging from 2100 masl to 7800 masl. The powerhouse of the project will be at an elevation ranging from 1728 to 1740 masl. The EIA of the project was approved by the GoN in 2070 and Supplementary EIA got approval in 2079.

Generation License for 140 MW RoR type was received on Kartik 18, 2075. However, to fit to Marsyangdi Cascade projects, this project has been re-designed to take tail water of PROR Manang Marsyangdi project so that this project is also a PROR project. The project has now been re-optimized at 139.2 MW. Accordingly, the Supplementary EIA (SEIA) has been conducted and approved. Amendment of generation license to address the changes has been approved at 139.2 MW. Industry registration for 139.2 MW has been completed. The Power Purchase Agreement has been signed with NEA dated 2080/04/31. The SPV formation with the involvement of Chinese partners has been completed.

Project Fact Sheet

Upper Marsyangdi-2 Hydroelectric Project (327 MW)

The Upper Marsyangdi-2 Hydroelectric Project (UM2HEP) is a PRoR type project located along Marsyangdi river in Manang and Lamjung districts in Gandaki Province of Nepal.

The catchment area at headworks of the project is 2,268 km2. The Dam site of UM2HEP is proposed around 2 km upstream of Tal village in Manang district. The underground powerhouse of the project will be constructed on the right bank of the Marsyangdi river at Syange village in Lamjung district. The survey license was first issued to Himtal Hydropower Co. Pvt. Ltd, owned by GMR, India. The EIA of the project was approved by GoN in 2069 for 600 MW. The ownership of the project has been transferred from GMR (majority shareholder) to the JV of three Chinese companies and BPC.

Following BPC's acquisition of the project with Chinese Investors, the project has been reoptimized at 327 MW and Supplementary EIA was carried out. The Supplementary EIA with respect to the updated report has got the approval from the concerned authority. Investment approval has been received from IBN. After the PPP Act, an MoU was signed with IBN, and a survey license was received from IBN for DPR preparation. The DPR has been prepared and got approval from IBN. The process is ongoing to start the negotiations of the Project Development Agreement (PDA). The power generation by the project will be evacuated through 220 kV transmission line interconnected at Khudi hub.

Project Fact Sheet