IPPAN warns government to not discourage power producers

The power producers today blamed the government for restricting private sector from getting survey licenses, production licenses and power purchase agreement (PPA) for hydropower projects.

Organising a press meet in the Valley today, The Independent Power Producers' Association Nepal (IPPAN) also demanded the government to revert the decision. According to them, a meeting chaired by the chief secretary on September 23 decided not to provide any survey licence to the private power producers. They also blamed the government for taking unilateral decision.

IPPAN also expressed its serious concern over the directive on non-life insurance fee recently endorsed by the Insurance Board. According to IPPAN, these provisions will discourage potential investors in the hydropower sector.

Demanding the government to adopt a flexible policy for the private sector power producers, under an open electricity trade policy, IPPAN president Krishna Prasad Acharya, on the occasion, said that the government should distribute electric stoves at concessional rates to increase electricity consumption, increase the use of electric vehicles and provide cheap electricity to industries.

IPPAN, on the occasion, also urged the government to formulate a cross-border electricity trade policy, expand quality transmission lines to sell and distribute electricity to neighbouring countries and formulate proper policy on transmission billing fees.