Good news for the foreign investors as they do not need to wait for Industrial Promotion Board's decision to import technology for hydropower projects as it has delegated the right to Industry Department today.
"The meeting of the Industrial Promotion Board today has delegated the right to the Industry Department to make it easier for the investors," said industry minister Shankar Prasad Koirala, who is the chair of Industrial Promotion Board.
"Once the projects get the permission from Industrial Promotion Board, the investors will go to the department for the permission to import the technology needed for the project," he said, adding that the investors do not need to wait for the Industrial Promotion Board's decision. "It will encourage the foreign investors to invest in hydropower."
Earlier the department had the right to give permission to the projects of up to Rs 2 billion only.
Today's decision will immediately benefit Tudi Power – apart other hydroprojects – that has been promoted by foreign investor and permitted by the Industrial Promotion Board (IPB) today.
Tudi Power Company has been allowed to pursue foreign direct investments for its 48.5-MW Upper Rahughat hydropower project. It has already attracted around $64.8 million in investments from China's Sichuan Gig Antai Energy Corporation, which was able to acquire 40.8 million units – Rs 4.08 billion – of the company as a result of the IPB's decision.Tudi Power and Himalayan Infrastructure Fund each hold 5.1 million units in the company that is developing Upper Rahughat Hydropower Project.