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On in Final Report No. Nepal Electricity Authority Nepal UPGRADING FEASIBILITY STUDY ON UPPER SETI (DAMAULI) STORAGE HYDROELECTRIC PROJECT IN NEPAL FINAL REPORT June 2007 JAPAN INTERNATIONAL COOPERATION AGENCY ELECTRIC POWER DEVELOPMENT CO., LTD. NIPPON KOEI CO., LTD. E D J R 07-074 PREFACE In response to a request from the Government of Nepal, the Government of Japan decided to conduct the Upgrading Feasibility Study on Upper Seti (Damauli) Storage Hydroelectric Project, and the study was implemented by the Japan International Cooperation Agency (JICA). JICA selected and dispatched a study team headed by Mr. Yoshimasa Ishii of Electric Power Development Co., Ltd. (J-Power), and consist of J-Power and Nippon Koei Co., Ltd. to Nepal five times from February 2005 to June 2007. The study team held discussions with the officials concerned of the Government of Nepal and Nepal Electricity Authority, and conducted related field surveys. After returning to Japan, the study team compiled the final results in this report. I hope this report will contribute to stabilization of power supply in Nepal and to enhancement of friendly relations between our two countries. I wish to express my sincere appreciation to the officials concerned of the Government of Nepal for their close cooperation throughout the study. June 2007 Tadashi IZAWA Vice President Japan International Cooperation Agency June 2007 LETTER OF TRANSMITTAL Mr. Tadashi Izawa Vice President Japan International Cooperation Agency Tokyo, Japan We are pleased to submit to you the report on the Upgrading Feasibility Study on Upper Seti (Damauli) Storage Hydroelectric Project in Nepal. This study has been conducted by Electric Power Development Co., Ltd. in association with Nippon Koei Co., Ltd. under a contract to JICA in a period from February 2005 to June 2007. This report presents a development of Upper Seti Hydroelectric Project with an installed capacity of 127 MW. Completion of the project can cope with peak power demand in the country and contribute to stabilization of power supply. We dearly wish that our proposed project will contribute to the utilization of domestic energy resources and to the improvement of Nepalese people’s living and economic activities. We would like to take this opportunity to express our sincere gratitude to your Agency, the Ministry of Foreign Affairs and the Ministry of Economy, Trade and Industry of the Government of Japan. We are also most grateful for the cooperation and assistance from the officials and personnel concerned in Nepal Electricity Authority and the ministries concerned of the Government of Nepal. Very truly yours, Yoshimasa Ishii Team Leader, Upgrading Feasibility Study on Upper Seti (Damauli) Storage Hydroelectric Project in Nepal Upper Seti (Damauli) Storage Hydroelectric Project Pokhara Kathmandu Location Map Bhimad Dajar Reservoir Tutuwa Phedi Khola Dam Site Wantang Khale Powerhouse Outlet River Corridor Study Region View of Dam Site from Upstream Side View of Intake Tailrace Outlet View of Upstream Reservoir (Bhimad Bajar) Stakeholder Meeting in Damauli (2 June, 2006) Stakeholder Meeting in Damauli (2 June, 2006) Upgrading Feasibility Study on Upper Seti Storage Hydroelectric Project in Nepal Table of Contents CONCLUSION AND RECOMMENDATION CHAPTER 1 INTRODUCTION ...................................................................................... 1-1 1.1 Background of the Study....................................................................................... 1-1 1.2 Purpose of the Study ............................................................................................. 1-1 1.3 Schedule of the Study ........................................................................................... 1-1 1.4 Scope of the Study ................................................................................................ 1-7 1.4.1 Preliminary Study Stage .......................................................................... 1-7 1.4.2 Detailed Investigation Stage.................................................................... 1-7 1.4.3 Upgrading Feasibility Design Stage ........................................................ 1-8 1.5 Outline of Subcontracting for Field Investigations............................................... 1-8 1.5.1 GIS Mapping........................................................................................... 1-8 1.5.2 Geological Investigation.......................................................................... 1-9 1.5.3 Environmental Survey ............................................................................. 1-10 1.6 Record on Dispatch of Study Team....................................................................... 1-13 1.7 NEA Counterpart and Study Team........................................................................ 1-14 1.7.1 NEA......................................................................................................... 1-14 1.7.2 JICA Study Team..................................................................................... 1-16 CHAPTER 2 GENERAL INFORMATION OF NEPAL................................................ 2-1 2.1 Geography............................................................................................................. 2-1 2.1.1 Topography.............................................................................................. 2-1 2.1.2 Climate .................................................................................................... 2-1 2.1.3 River ........................................................................................................ 2-2 2.2 Administrative Regions.........................................................................................2-2 2.3 Population ............................................................................................................. 2-3 2.4 Macroeconomics ................................................................................................... 2-4 2.4.1 Macroeconomic Situation........................................................................ 2-4 2.4.2 Foreign Trade and Foreign Debt.............................................................. 2-4 2.5 Tenth Plan............................................................................................................. 2-10 CHAPTER 3 EXISTING STUDY ON SELECTION OF STORAGE HYDROELECTRIC PROJECT............................................................... 3-1 3.1 Energy Resources.................................................................................................. 3-1 3.2 Power Facilities for Peak Demand........................................................................ 3-1 Final Report - i - Upgrading Feasibility Study on Upper Seti Storage Hydroelectric Project in Nepal 3.3 Study on the Selection of Storage Hydroelectric Project...................................... 3-1 3.3.1 Phase I..................................................................................................... 3-2 3.3.2 Phase II.................................................................................................... 3-4 3.4 Feasibility Study by NEA ..................................................................................... 3-4 3.4.1 Feasibility Study ...................................................................................... 3-5 3.4.2 Upgrading Feasibility Study.................................................................... 3-6 3.4.3 Investigations by NEA............................................................................. 3-7 CHAPTER 4 POWER SECTOR SURVEY....................................................................... 4-1 4.1 Organization.......................................................................................................... 4-1 4.2 Existing Power Generating Facilities.................................................................... 4-7 4.3 Existing Transmission Lines and Substations....................................................... 4-9 4.3.1 Existing Transmission Facilities.............................................................. 4-9 4.3.2 Existing Substation Facilities .................................................................. 4-11 4.3.3 Existing Phase Modifying Facilities........................................................ 4-11 4.4 Load Dispatch Facilities........................................................................................ 4-11 4.4.1 Load Dispatch System............................................................................. 4-11 4.4.2 Guide to the Load Dispatch Operation .................................................... 4-14 4.4.3 Power Trade and Power System Configuration with India...................... 4-15 4.5 Actual Records of Power Supply and Demand..................................................... 4-15 4.5.1 Load Demand .......................................................................................... 4-15 4.5.2 Power Supply........................................................................................... 4-26 4.6 Electricity Tariff.................................................................................................... 4-32 4.7 Financial Performance of NEA............................................................................. 4-36 4.8 Actual Situation of Power Sector Reform............................................................. 4-39 CHAPTER 5 POWER DEVELOPMENT PLAN..........................................................
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