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Long wait for Marsyangdi ends from today

Monday - 15th December 2008

After four years delay in targeted time, the long-awaited 70 Megawatt Mid-Marshyangdi Hydroelectricity Project (MMHEP) has finally started operation from Sunday.
Prime Minister Pushpa Kamal Dahal inaugurated the German funded project at a ceremony held today in Lamjung, western Nepal, marking the 50th anniversary of the establishment of diplomatic ties between Nepal and Germany. After the inauguration, he also inspected the project which was delayed by four years due to political, security and other technical reasons.
The project, which had started in June 2001 with joint investments of the government of Nepal and Germany and Nepal Electricity Authority, was scheduled for completion by December 2004.
But the project was plagued with problems right from the start. First, construction of the project was halted in 2003 after project contractors went on an indefinite strike citing lack of security after Maoists killed two of its workers.
Work on the project was also delayed after the German, Spanish and Chinese contractors wanted variations in the construction designs. The second biggest hydel project in the country is also the most-expensive hydropower project in terms of per unit cost as it was completed at almost double the cost of what was estimated. Germany has borne 85 percent of the total construction cost while government and the NEA covered the remaining 15 percent.
The hydro-electricity project is commencing operations at a time when the country is facing serious power shortages with consumers in the country having to face up to 7 hours of load-shedding every day.
NEA expects that the county's power woes will be addressed to some extent after the hydel project starts to generate electricity


Source NTN