Construction of the Masiandi Cascade Hydropower Station in Nepal begins, with Chinese companies participating in the investment and construction
On October 22, the groundbreaking ceremony for the Nepal Marsyangdi Hydropower Project took place simultaneously in Chengdu, Sichuan, and along the banks of the Marsyangdi River in Nepal. This event marks the official commencement of this significant hydropower initiative, which involves investments and construction by Chinese enterprises.
The Marsyangdi Cascade Hydropower Project is a key component of the China-Nepal electricity cooperation plan and represents a significant endeavor for Sichuan’s participation in the Belt and Road Initiative. Situated on the Marsyangdi River in Nepal’s Gandaki Province, the project encompasses three interconnected hydropower stations with a total installed capacity of approximately 600,000 kilowatts and an annual electricity generation of over 3.1 billion kilowatt-hours. The overall investment for this ambitious project is estimated at around $1.2 billion.
The newly initiated Marsyangdi hydropower station is the first phase of development within this cascade system, featuring an installed capacity of 135,000 kilowatts. This project is a collaborative effort led by Sichuan Investment Group Co., Ltd. in partnership with Nepal’s Butwal Power Company, Chengdu Xincheng Investment Group Co., Ltd., and Sichuan Qingyuan Engineering Consulting Co., Ltd.
As the largest power investment project by Chinese firms in Nepal, the Marsyangdi Cascade Hydropower Project also stands out as the first overseas energy investment by a state-owned enterprise from Sichuan Province. In 2022, the project successfully secured the first Project Development Agreement (PDA) for a Chinese enterprise in Nepal, effectively safeguarding the security of state investment.
The Marsyangdi Cascade Hydropower Project is notable as Nepal’s first basin-level cascade development initiative. It aims to draw from the extensive hydropower development experience of Sichuan, one of China’s leading hydropower provinces, while embodying the principles of “basin cascade development and integrated construction and operation” to optimize resource utilization across the basin.
