Nepal nod for Reliance, SJVN to invest billions of rupees

Kathmandu: The Nepal Investment Board headed by Prime Minister Sushil Koirala has given its nod to two prominent Indian groups to invest billions of rupees in cement and hydropower projects.

The NIB cleared the decks for the Anil Ambani-led Reliance Group to set up a cement plant, with an annual capacity of 2.3 million tonnes, worth NRs.40 billion.

A report on the downstream and upstream impact of the project will be readied within six months so that other projects or local initiatives would not be affected, said NIB CEO Radesh Pant.

The NIB also approved the Project Development Agreement for the 900-MW Arun III project of Satluj Jal Vidyut Nigam. Under this, Nepal will receive 21.9 percent or 197 MW free energy from the project.

The Indian company will invest Rs.104 billion on the project.

The formal agreement on this will be signed on the sidelines of the 18th Saarc Summit here next week.