Friday, January 3, 2020

Local bodies to issue licence for hydel projects below 3MW

The Electricity Act 2076 Bill has proposed delegating the authority to issue licence for the construction and operation of electricity projects up to the capacity of 3 megawatt (MW) to the local governments.
At a meeting on the draft of the Electricity Act 2076 Bill in Kathmandu today, joint secretary of the Ministry of Energy, Water Resources and Irrigation Toyanath Adhikari confirmed that the Bill has proposed to give local level governments the authority to issue license to electricity generating project up to 3 MW. “ If the project lies in two or more than two local level territories, the project has to get the license from the provincial government,” he said, quoting the draft. “An electricity project with generation capacity of 3MW to 20MW should get license from provincial government, whereas if the project falls in more than one province, the project would need to be licensed from the central government's secretary."
According to the draft, a project gets the license for electricity generation within 15 days after operator submits needed documents. Likewise, the license for electricity transmission or distribution will be issued within 120 days and for electricity trade or customer service license, it will take 45 days, the draft reads, adding that it has also reduced the term of license to be issued for generation of hydroelectricity to 40 years, which is 10 years less than the one mentioned in Electricity Act 2049. “The licensee generating electricity from sources other than hydro can operate the project for 25 years,” the draft reads, adding that the term of license to be issued for generations, transmission or distribution of electricity may be of 50 years in maximum.
Speaking on the occasion, Minister for Energy, Water Resources and Irrigation Barshaman Pun said that the government will not ignore provincial and local level governments, and stakeholders while getting the 'Electricity Act 2076' Bill endorsed in the parliament.

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