The Upper Trishuli-1 Hydropower Project involves the construction and operation of a 216 MW greenfield run-of-the-river hydropower facility located in the Trishuli watershed, 275m downstream of the confluence with the Bhotekosi river, and about 70km north of Kathmandu. The Project consists of a 77m wide diversion dam by which the water will get diverted through a 9.8km long headrace tunnel to an underground power station. The electricity generated will be sold for domestic consumption to the Nepal Electricity Authority (NEA) based on a fixed tariff structure. The 35 year concession will be on a BOOT basis and includes a 5 year construction period.
|Project Name||Upper Trishuli 1 Hydroelectric Power Project|
|Borrower/Company||Nepal Water & Energy Development Company Pvt. Ltd
|Type or Modality of Assistance||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Partnerships
Private sector development
|Sector / Subsector||
Energy / Large hydropower generation
|Gender Equity and Mainstreaming||Some gender elements|
|Responsible ADB Department||Private Sector Operations Department|
|Responsible ADB Division||Infrastructure Finance Division 1|
|Responsible ADB Officer||Tang, Sonali|
|Project Sponsor(s)||Daelim Industrial Co. Ltd.
Korea South East Power Company
Kyeryong Construction Industrial Co. Ltd.
|Description||The Upper Trishuli-1 Hydropower Project involves the construction and operation of a 216 MW greenfield run-of-the-river hydropower facility located in the Trishuli watershed, 275m downstream of the confluence with the Bhotekosi river, and about 70km north of Kathmandu. The Project consists of a 77m wide diversion dam by which the water will get diverted through a 9.8km long headrace tunnel to an underground power station. The electricity generated will be sold for domestic consumption to the Nepal Electricity Authority (NEA) based on a fixed tariff structure. The 35 year concession will be on a BOOT basis and includes a 5 year construction period.|
|Objectives and Scope||Nepal faces a large power deficit, resulting in daily load shedding. The project will reduce this shortage and generate a significant amount of power during the dry season (December to May) and reduce the need to import power during this season.|
|Linkage to Country/Regional Strategy||The project is also in line with ADB's country partnership strategy 2013-2017 for Nepal, which lists the energy sector as one of the 3 core sectors in Nepal. The country partnership strategy also emphasizes the need to attract greater private sector finance investments into the industry.|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||Under ADB's Safeguard Policy Statement (2009), the project to construct and operate a 216MW hydropower plant is classified as category A for environment. NWEDC has undertaken the preparation of an Environmental and Social Impact Assessment (ESIA) to identify potential environmental and social impacts, as well as the effective measures to avoid, mitigate and compensate identified adverse impacts. NWEDC will implement measures and relevant management plans to monitor and respond accordingly to the identified potential risks and impacts during construction and operation (e.g. health and safety, water quality, biodiversity, downstream flows); and manage cumulative impacts through participation in a co-management platform with other key stakeholders of the river basin.|
|Involuntary Resettlement||The project is classified as category A for resettlement following ADB's Safeguard Policy Statement. Of the approximately 99.79 hectares of land required for the project and its associated facilities, most it (approximately 77ha) is government land. The remaining is a mix of private (~3.68ha) and trust (~15.53 ha) lands. This land take will result in both physical as well as economic displacement. NWEDC has undertaken the preparation of a Land Acquisition and Livelihood Restoration Plan (LALRP) aligned to ADB SPS requirements to address the adverse impacts resulting from involuntary resettlement. NWEDC will implement measures as identified in the LALRP. Progress on LALRP implementation will be periodically monitored and reported.|
|Indigenous Peoples||The project area is dominated by Tamangs who are identified as one of the 24 hill tribes/indigenous people in the country. Most of the project affected persons/land losers (physically as well as economically displaced) are Tamangs who are native to the area. In addition, the project facilities like the access roads will result in some adverse impacts on community forests which is a source of timber and other non-timber forest produce for these indigenous communities in the area. NWEDC has undertaken the preparation of an Indigenous People Plan (IPP) aligned to ADB SPS requirements to address the adverse impacts on these IP groups. NWEDC will implement measures as identified in the IPP. Progress on IPP implementation will be periodically monitored and reported.|
|Stakeholder Communication, Participation, and Consultation||A Stakeholder Engagement Policy (SEP) is under preparation for the project. The SEP will include a detailed communication strategy covering a stakeholder analysis, a communication strategy (for disclosure, information sharing, grievance redressal and community feedback), and an outline of resources to be allocated. Key stakeholders such as affected people, community members, women, vulnerable groups, civil society organizations, concerned government officials/departments, local political groups, traditional leaders, village elders will be consulted throughout the project cycle. The stakeholder consultation, communication and participation programme will follow culturally and linguistically appropriate methods and be inclusive in its approach and coverage. Progress on implementation of SEP and communication strategy will be documented and periodically reported.|
|Timetable for assistance design, processing and implementation|
|Credit Committee Meeting||-|
|Approval||01 Aug 2018|
|Last PDS Update||27 Mar 2018|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
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None currently available.
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
|Title||Document Type||Document Date|
|Upper Trishuli 1 Hydroelectric Power Project: Draft Environmental and Social Impact Assessment||Environmental Impact Assessments||Mar 2018|
Evaluation Documents See also: Independent Evaluation
None currently available.
None currently available.
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
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