Mahendranagar, 30 September 

India has finally approved the Nepal Electricity Authority to trade in its real-time energy market. India had earlier allowed Nepal to participate in the day-ahead market where the power’s quantum and prices are fixed a day ahead of trading.

The Central Electricity Authority under the Ministry of Electricity of India has given permission to the Nepal Electricity Authority to sell electricity in the real-time market on Saturday. Under this, according to the production, the authority will be allowed to conduct electricity transactions in the Indian market by bidding 15 hours before.

On 15th July, the Ministry of Electricity of India arranged for the authorized bodies of the neighboring countries to participate in the real-time market through the amendment of the procedures of the bodies designated for approval and facilitation of electricity import/export (cross border).

In the first phase, the Central Electricity Authority of India has permitted the sale of around 44 MW of electricity produced by the 19.4 MW Lower Modi and 24.25 MW Kabeli B1 hydroelectric projects in the real-time market.

The electricity of both these projects was now being sold in the day-ahead market. The permission given to the day ahead market was ending on Saturday. Prabal Adhikari, director of the electricity trade department of the authority, said that two projects have been sent for renewal of day-ahead, and permission has been received for sale in both electricity day-ahead and real-time markets. Now the electricity of the two projects can be sold day-ahead and according to the requirement in the real-time market, the director officer mentioned.

"Earlier, we had to wait a day to import and export electricity from the competitive market, but now we are able to bid and do business 15 hours in advance. This has made it possible to buy and sell electricity in the event of a sudden stop in electricity production or an increase in production," the official said. "It is a new experience and achievement for us to be able to participate in the real-time market since we are only participating in the day-ahead market. This has added a new brick to the electricity trade between the two countries, along with ease of electricity management."

The Authority has been exporting to India the electricity saved during the rainy season after consumption within the country. The authority has been selling about 110 MW of electricity to the Indian company NTPC Vidyut Vyarg Nigam Ltd-NVVN through competition in the day-ahead market of IX and under the medium-term power agreement for some time. NVN is selling electricity in the state of Haryana.

The Authority has received approval for the export of 522 MW in the competitive market and 632 MW to Haryana State through NVVN with 110 MW. Out of this, 562 MW of electricity is being exported from the Dhalkebar-Muzaffarpur 400 KV international transmission line and 70 MW from the Mahendranagar-Tanakpur 132 KV transmission line. The authority has exported electricity worth five billion 43 crore 31 lakh rupees to India in July and August of the current financial year (FY) 2080/81.