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Kathmandu – Last week on Thursday, November 2, the US based Tacoma Power and Wisconsin Electric signed a partnership agreement with the Nepal Electricity Authority (NEA) under the United States Agency for International Development (USAID)/ United States Energy Association (USEA) Energy Partnership Program at a grand ceremony held at Annapurna Hotel.
This is perhaps for the first time that two prestigious American companies have come to Nepal to help her in generating power from the yet untapped abundant water resources through the joint venture scheme.
The partnership will undoubtedly provide a mechanism for Tacoma Power and Wisconsin Electric to transfer their experience and expertise to NEA.
On the occasion, the US Ambassador to the Kingdom of Nepal, Ralph Frank, said that the “launching of these partnerships marks a milestone in both of our governments’ efforts to address energy issues for the benefit of the Nepalese”.
The US envoy pointedly remarked that, “electric power is not only one of the most promising economic growth opportunities for Nepal and a potential source of clean, renewable, energy for the region, it is also the key to many development, social, and environmental issues in Nepal”
“The development of Nepal’s energy potential is not a choice (but) it is imperative”, added the Ambassador Frank.
The Ambassador also warned the Nepalese side to tap the potential of the water resources before it is too late. In this connection he said, “ until electric energy is produced in the amounts needed to replace the demand on the forests, Nepal’s environment faces an increasingly dim future”.
According to the US envoy, almost 80% of all the energy consumed in this country came from burning of the firewood and with Nepal’s steady population growth, she faced a mounting threat to her forests and the face of its landscape.
Responding to a query of the Telegraph weekly, Ambassador Frank said that “this agreement bodes well for Nepal’s future as the energy thus produced would be not only utilized by many people in their houses but would also contribute to the development process that is underway in this Kingdom”.
Representing the Government of Nepal at the signing ceremony is Ram Bahadur Gurung, Minister of State, Ministry of Water Resources.
The Director at the NEA, B.B.Malla divulged that at the moment only a small segment ( 15%)of Nepali population were connected with power supply in the country.
Donna Stauffer, USAID, said that power challenge has already become a global issue. She also hoped that this partnership will prove beneficial to the Nepali consumers.
Steven Klein, Superintendent of the Tacoma Power assured the NEA that his entire team would be helping the latter’s endeavors for the generation of electric power in Nepal.
The partnership with Tacoma Power and Wisconsin Electric will, it was learnt, focus on reducing distribution losses, computers and management, Independent Power Producers, and tariff restructuring.
The United States Energy Association (USEA) established the Energy Partnership Program (EPP) with
funding from the United States Agency for International Development (USAID). This utility
partnership is for a two-year period and is being funded by USAID and private sector in-kind
contributions. The partnership will provide a basis for the sharing and transfer of knowledge of
market-based energy production, transmission, distribution and regulation between the U.S. partners
and NEA.