Inauguration of Substations Modi-Lekhnath Power Transmission Line and Substations Project

1.The three substations under the Modi-Lekhnath Transmission Line and Substations Project, being financed under Government of India’s Line of Credit of USD 250 million (LOC II), were inaugurated today in Laha Chowk, Kaski district, Nepal. This is one of the 75 projects being inaugurated this year in Nepal as part of “India@75 Azadi Ka Amrit Mahotsav” which celebrates 75 years of India’s independence.

2.The Modi-Lekhnath project involves construction of a 42 km long power transmission line and its associated substations at New Modi, Laha Chowk and Lekhnath in the central part of Nepal. The USD 20 million project is being executed by India’s KPTL Ltd. and ABB India under funding by the EXIM Bank of India. The substations package is completed while the transmission line package is likely to be completed soon.

3.The inauguration was done by Hon’ble Ms Pampha Bhusal, Minister for Energy, Water Resources and Irrigation, Government of Nepal in presence of senior officials of Government of Nepal and local representatives. From the Indian side, a delegation led by Mr. Sridharan Madhusudhanan, Joint Secretary, Ministry of External Affairs and including senior officials from Ministry of External Affairs, Government of India, EXIM Bank of India and the Embassy of India attended the ceremony.

4.India-Nepal power sector cooperation encompasses all major domains including development of generation projects, construction of power transmission lines, both cross-border and within Nepal, and power trade. Under Lines of Credit, India has supported construction of four transmission line and substation projects in Nepal in addition to the Modi-Lekhnath project. These include the 220 kV Koshi corridor, the 132 kV Solu corridor and the Dhalkebar Bhittamod section of the Muzaffarpur Dhalkebar 400 kV cross-border transmission line. This is a key element of India’s emphasis on enhancing cross-border economic connectivity as part of our larger “Neighbourhood First” policy.