18-km section of cross-border transmission line completed under MCC Compact

Nawalparasi, Sept 13: The Millennium Challenge Account Nepal (MCA-Nepal), under the MCC Nepal Compact, has completed construction of an 18-kilometre section of the cross-border transmission line linking the 400 kV New Butwal Substation with the Nepal-India border.

The completion marks an important milestone in Nepal’s efforts to strengthen its electricity transmission network and expand cross-border power connectivity.

MCA-Nepal accelerated construction of the 18-kilometre section following a request from the Ministry of Energy, Water Resources and Irrigation and completed the work within the agreed timeframe.

Speaking at an event held today at the New Butwal Substation in Nawalparasi (Bardaghat Susta West) district to mark the completion, Secretary at the Ministry of Finance and MCA-Nepal Board Chair Dr Ghanashyam Upadhyaya highlighted the significance of the milestone and appreciated the partnership among Nepal, the United States and the Millennium Challenge Corporation (MCC).

“On behalf of the Government of Nepal, I would like to express our sincere appreciation to the US Government for its longstanding commitment to Nepal’s development and its continued support through the MCC Nepal Compact. The completion of this transmission line is an important milestone in strengthening Nepal’s electricity infrastructure and advancing cross-border energy connectivity. We are proud of this achievement and look forward to realizing the benefits of this partnership for Nepal’s development,” he said.

Joint Secretary at the Ministry of Energy, Water Resources and Irrigation Sunil Poudel said the completion demonstrated Nepal’s progress in strengthening its electricity infrastructure and expanding cross-border connectivity.

“Nepal is steadily strengthening its electricity generation and transmission capacity, and cross-border connectivity is an important part of this effort. The completion of the Nepal-side section of this transmission line demonstrates what can be achieved through strong coordination among the government, implementing agencies, development partners and local communities. We appreciate MCA-Nepal’s efforts to complete this work as planned and look forward to the next steps toward bringing the infrastructure into operation,” he said.

Nepal Electricity Authority Acting Managing Director Dirghayu Kumar Shrestha congratulated MCA-Nepal on the achievement.

“The completion of this transmission line is an important achievement for Nepal’s power sector. We appreciate MCA-Nepal’s efforts to respond to the Government of Nepal’s request and complete the construction within the agreed timeframe. This achievement brings us an important step closer to realizing the broader benefits of stronger electricity connectivity between Nepal and India,” he said.

MCA-Nepal Executive Director Khadga Bahadur Bisht said the achievement reflected MCA-Nepal’s commitment to implementing the priorities of the Government of Nepal.

“We are proud to have completed construction of this important 18-kilometre section of the cross-border transmission line. The Government of Nepal asked us to accelerate this work, and MCA-Nepal responded by mobilizing the resources, contractors and partners needed to complete the construction within an expedited timeframe. We now look forward to the remaining steps toward energizing the line and, ultimately, strengthening electricity connectivity and energy cooperation between Nepal and India and the broader region,” he said.

Closing the event, MCC Resident Country Director Diane Francisco thanked all those involved in completing the Nepal-side section of the transmission line.

“As we mark this completion, I would like to extend our sincere appreciation to the Government of Nepal, the Nepal Electricity Authority, the MCA-Nepal Board and MCA team, our contractors and consultants, local governments and, most importantly, the local communities who supported and engaged with the project throughout its implementation. This achievement is a testament to what can be accomplished when we work together toward a shared goal,” she said.

The completion of the 18-kilometre Nepal-side section marks the conclusion of MCA-Nepal’s construction work for this part of the cross-border transmission line. The line will undergo the remaining work and approvals required before it can be energized and brought into operation, including arrangements necessary to enable electricity to flow across the Nepal-India border.

The 18-kilometre section is part of MCA-Nepal’s Electricity Transmission Project, which includes the construction of 315 kilometres of high-voltage transmission lines and three substations, as well as technical support to the Electricity Regulatory Authority and the Nepal Electricity Authority.

The project is aimed at improving the availability and reliability of electricity in Nepal, strengthening the transmission network and supporting energy security, future electricity generation and cross-border power trade.