IPPAN President Urges French Investors to Invest in Nepal’s Hydropower Sector
Kathmandu – Ganesh Karki, President of the Independent Power Producers’ Association of Nepal (IPPAN), has called on French investors to explore opportunities in Nepal’s rapidly growing hydropower sector.
Speaking at the France–Nepal Hydropower Investment Summit held in Paris, Karki emphasized Nepal’s potential to meet the surging energy demand of South Asia, urging investors to focus on long-term prospects without market concerns.
Karki highlighted Nepal’s dramatic progress in the power sector. From a capacity of just 250 MW in 1999, Nepal has achieved 3,500 MW, with the private sector contributing over 80% (2,800 MW) of that growth in just 25 years.
He acknowledged France’s support in this journey, citing bilateral cooperation in financial instruments, technical assistance, and institutional development as examples of a shared commitment to sustainable, inclusive, and climate-resilient energy development.
A notable example is the 216 MW Upper Trishuli-1 Hydropower Project, for which France, in collaboration with the International Finance Corporation (IFC), provided a $453 million loan. This project is expected to make a significant contribution to Nepal’s power supply.
Karki also pointed out the ongoing Hydro Nepal project, initiated in 2025 through a partnership between the French Embassy, the Nepal Electricity Authority (NEA), and Blue Water Intelligence. The initiative leverages AI-based tools for digital mapping of river basins and enhancing climate forecasting capabilities.
He encouraged similar public-private partnership (PPP) models in other areas such as carbon trading, cross-border trade, and research and innovation. According to Karki, Nepal offers immense potential in both B2B collaborations and PPP frameworks, especially in technology transfer, green financing, project development, and engineering services.
French companies with expertise in hydropower equipment, smart grids, and engineering services are particularly well-positioned to partner with Nepal’s growing energy market, contributing to job creation, economic growth, and advanced technology transfer.
Looking ahead to the government’s goal of producing 28,500 MW by 2035, Karki stated that Nepal is actively welcoming foreign direct investment (FDI). Of this target, 15,000 MW will be exported to India, and the remaining 13,500 MW will be used domestically.
This ambitious plan, with an estimated investment need of $46 billion, presents significant opportunities across sectors such as insurance, banking, construction, education, health, and infrastructure.
Karki assured that IPPAN will facilitate further partnerships and investments, opening doors to a wide range of opportunities — from equity and debt investments in hydropower projects, to smart grid upgrades, hydrological forecasting, engineering consulting, and even carbon trading and regional energy integration.
He concluded by expressing strong confidence that Nepal will achieve its energy goals with the support of international investors and private sector partners.
Karki also invited participants to join Power Summit 2025, scheduled for October 17–18, to further strengthen Nepal’s position as a regional energy supplier.
