Kimathanka Arun hydropower project will be built with indigenous capital, investment modality decided
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Media Baaji
- Tue, 6 January 2026
Kathmandu. The investment modality has been decided to build the Kimathanka Arun semi-reservoir hydropower project with a capacity of 454 MW identified in Bhotkhola rural municipality-2 of Sankhuwasabha with indigenous capital. The estimated cost of the project, including interest for the construction period, is 97 billion 94 million rupees. 70 percent of the total cost will be raised from debt and 30 percent from equity.
Co-financing of HIDCL, Employees' Provident Fund, Citizen Investment Fund, Social Security Fund, Insurance Companies and Banks has been proposed for debt management. The equity amount will be collected from founders, non-resident Nepalis, project-affected locals and general public through share issuance.
It is estimated that about 2 billion 69 million units of electricity will be generated annually from the project and the income will be about 16 billion 91 million rupees.
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