“Necessity and Scope of FDI in Hydropower Sector in Nepal.”

Prepared by:Mrinal Gaurav2014

FDI in Hydropower

Presentation Outline

Introduction Research Objectives Methods of Research Data Collection Data AnalysisConclusion

FDI in Hydropower

Introduction

FDI in Hydropower

Hydropower is one of the areas in Nepal which has an immense potential to attract FDI .

Despite having among the highest commercially feasible hydropower potential, Nepal has harnessed only about 1 percent of its potential hydropower energy.

As per the World Bank (2013) the government has only able to provide electricity to 43.6% of population until 2009.

There is a huge demand supply gap . Thus wide scope and necessity of FDI

FDI in Hydropower

Objectives

FDI in Hydropower

To explore the current scenario of electricity in Nepal

To find out the need and scope of FDI in hydropower

FDI in Hydropower

Methods of Research

FDI in Hydropower

A qualitative, semi structured interview was used.

Questions for the interview was proposed on the background of research objectives.

FDI in Hydropower

Data Collection

FDI in Hydropower

A total of six interviews were conducted through skype and telephone.

Three personnel were from Nepal Electricity Authority and three were top executives from hydropower companies in Nepal

FDI in Hydropower

Data Analysis

FDI in Hydropower

All of interviewees agreed that there is a need FDI in hydropower in Nepal .

Nepal is a country which has hugely commercially feasible hydropower potential to generate electricity.

Demand of electricity is sufficiently high however due to lack of economical resource the demand has not been able to fulfill in this sector thus have created a huge gap in demand and supply.

This huge gap in demand and supply has created huge opportunities of FDI in hydropower in Nepal

FDI in Hydropower

Conclusion

FDI in Hydropower

Government of Nepal has is taken optimistic goals and steps for harnessing Nepal’s hydropower potential.

The variance between laws and implementation creates barriers to invite investors and also causes costly delay in the ongoing projects.

Favoritism, red tape, slow governance, heavy bureaucratic discretion, irregularities, infrastructure and facilities are also some of the barriers in attracting FDI in hydropower in Nepal.

FDI in Hydropower

Thank You!!!