In Brief
Approves cross-border power supply of up to 654 MW to Nepal to aid recovery following severe flood damage.
The Government of India approved the export of up to 654 Megawatts (MW) of electricity daily for 18 hours to flood-ravaged Nepal through December 31, 2026. The emergency energy supply assistance was granted following widespread destruction of power transmission networks and hydro generation plants caused by recent massive landslides and flash floods across Nepal's river valleys.
Cross-border electricity trade between India and Nepal operates under the bilateral Power Trade Agreement signed in 2014, alongside the Guidelines for Import/Export (Cross Border) of Electricity issued by the Ministry of Power. Nepal typically exports surplus hydroelectricity to India during the monsoon season and imports thermal power during dry months. However, severe natural disasters crippled Nepal's national grid, prompting New Delhi to intervene under its regional diplomatic commitment.
Power transmission between the two nations is facilitated through cross-border high-voltage lines, including the 400 kV Dhalkebar-Muzaffarpur transmission link. India's designated authority for cross-border power trading is the Central Electricity Authority (CEA) under the Ministry of Power. In recent years, tripartite power trade agreements involving India, Nepal, and Bangladesh have also emerged to build an integrated South Asian energy grid.
This decision underscores India's proactive 'Neighborhood First' foreign policy and cements soft power diplomacy through critical infrastructure support during humanitarian crises. For aspirants, this topic provides vital material for Prelims MCQs on cross-border power trade rules and South Asian energy integration, alongside Mains GS Paper-2 questions on India-Nepal bilateral relations.
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