Nepal and India on Thursday signed here a long-term power trade agreement on the export of 10,000 megawatts (MW) of electricity to India in the next 10 years.
The deal signing was much-awaited in Nepal after an understanding was reached during Nepali Prime Minister Pushpa Kamal Dahal's visit to India in late May and early June last year.
"It is a 25-year-long agreement under which India has promised to buy 10,000 MW in 10 years," said Sandeep Kumar Dev, joint secretary at Nepal's Ministry of Energy, Water Resources and Irrigation.
"Power trading agencies of the two countries can sign up to five-yearly or 10-yearly power purchase agreements under this long-term agreement," he told Xinhua, noting that the agreement will automatically be renewed every 10 years after 25 years.
Three 132 kV cross-border transmission lines were also inaugurated on the day during the visit of Indian External Affairs Minister Subrahmanyam Jaishankar, said Nepal's Foreign Ministry spokesperson Amrit Bahadur Rai.
Jaishankar came to Kathmandu on Thursday for the 7th meeting of the Nepal-India Joint Commission.
Editor:Galia
