India, Nepal sign pacts to boost cross-border power trade

30 Oct 2025 CW Team

India and Nepal on Wednesday advanced their energy partnership with the signing of agreements to develop new cross-border power transmission lines, aimed at enhancing electricity trade and improving regional grid stability.

Nepal’s Minister for Energy, Water Resources and Irrigation, Kulman Ghising, met India’s Minister for Power and Housing & Urban Affairs, Manohar Lal, in New Delhi to review ongoing cooperation in the power sector. The meeting also focused on the progress of hydropower projects in Nepal and efforts to expand regional grid connectivity for cleaner and more reliable energy exchange.

During the discussions, both ministers reaffirmed their commitment to deepening energy collaboration between the two nations. India’s Power Grid Corporation and Nepal Electricity Authority signed joint venture agreements to establish key transmission infrastructure to facilitate increased power trade.

Two major cross-border projects will be implemented under these agreements — the Inaruwa (Nepal)–New Purnea (India) 400 kV Double Circuit line and the Lamki (Dododhara) (Nepal)–Bareilly (India) 400 kV Double Circuit line.

Once operational, these transmission corridors are expected to significantly enhance electricity exchange between the two countries, improve regional grid resilience, and contribute to sustainable economic growth in both India and Nepal.

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