Project Information

Nalsing Gad Storage Project was identified as one of the potential storage hydropower projects in 1999-2001 during study of "Identification and Feasibility Study of Storage Project" (IFSSP). Among 93 potential storage projects, Nalsing Gad Storage Project was one of the attractive projects and ranked in first priority. The implementation of this project in Nepal is expected to fulfill the increasing demand of peak power in the Integrate National Power System (INPS).

The Nalsing Gad Storage Project is also called as Nalsyau Gad Storage Project in some of the reports. The Project is located in Jajarkot District in the mid western development region of Nepal in Nalsyau Gad a tributary of the Bheri River in the Karnali Basin. The project site is located between longitude 82° 14' 00'' E - 82° 19' 12' E and Latitude 28° 47' 28'' N - 28° 58' 00'' N. The dam site of the project is located just downstream of the confluence of the Udheri Khola which is approximately 9.25 km upstream from the confluence of the Nalsyau Gad and the Bheri –River and the powerhouse was identified at the right bank Bheri –River. Due to the adverse geological condition, the powerhouse location is shifted to that left bank of Nalsyau Gad River. The feasibility study of the project was completed in July, 2012 by Project Development Department (PDP), Engineering Service of Nepal Electricity Authority.

The major features of the projects based on Feasibility Study Report are:

Project Description (Technical Details)

Name of Project Nalsing Gad Storage Project
District Jajarkot
Type of Scheme Storage
Installed Capacity 410 MW (4× 102.5 MW)
Maximum Gross Head 698.0 m
Designed Net Head 635.5 m
Maximum Net Head 684.36m
Design Discharge 75.0 m³/s
Project Road 25 Km
Type Ogee shaped, non gated side channel
Maximum Height above Foundation 200 m
Length of Crest 545.00 m
Diversion Tunnel Length 1145
Total Storage volume 419.6 Million m³
Live Storage Volume 296.3 Million m³
Headrace Tunnel Length 8215 m
Headrace Tunnel Finished Diameter 5.7 m
Type of Powerhouse Under Ground
Type of Turbine Vertical Axis Pelton Turbine
Transmission Line Length 112 km
Transmission Line Length Voltage 400 k V (Double Circuit)
Interconnection Point Kohalpur S/S, Banke District
Maximum Daily Generation 12 equivalent hrs
Minimum Daily Generation 2 equivalent hrs

Energy Details

Dry Season Energy (November to April) 643.29 GWh
Wet Season Energy (May to October) 150.88 GWh
Spill Energy 611.89 GWh
Total Energy 1406.06 GWh

Project Cost

Total Project Cost (Base Cost) 737.39 MUS$(2012 Price Level)
Local Component 157.75 MUS$(2012 Price Level)
Foreign Component 579.64 MUS$(2012 Price Level)
Installation Cost 1799 US$ per kW)

Financial Indicators

Total Project Cost (Base Cost) NRs. 64153.19 Million (At exchange rate of NRs.87.00)
Final Cost ) NRs.108,263.74 Million
Total Debt NRs.26,665.66 Million
Interest Rate on Debt 8.0%
Expected Return on Equity NRs. 64153.19 Million (At exchange rate of NRs.87.00)
Average Energy Cost (for 14% return on equity) Nrs. 9.11/KWH for Total Energy (2012 Price Level)
Average Energy Cost (for 14% return on equity ) NRs.16.09/KWh for saleable Energy (2012 Price Level)
Debt Service Ratio 2.0 (in the First year of operation)
Financial Internal Rate of Return 8.9%
Benefit Cost Ratio 1.15(at 10 % discount rate))
Payback period 12.18 Year
Analysis Period 25 years
Economic Indicators (Based on Avoided Cost)  
Economic Internal Rate of Return 21.88%
Benefit Cost Ratio 2.25 (at 10% discount rate)
Net present Value 738.64 Million US$
Pay Back Period 12.18 Yeas
Specific Energy Cost for Hydro 16.31 US Cent/k Wh(at 10% discount rate)
Specific Energy Cost for Thermal 36.72 US cent/k Wh (at 10 % Discount rate)
Analysis Period 25 years

Economic Indicators (Based on LRMC Cost)

Winter Season Energy Rate 12.72 US Cent per KWh
Summer Seasons Energy Rate 3.82 US Cent per KWh
Emission Benefit 0.598 US Cent per kWh
Benefit Cost Ratio 2.25(at 10% discount rate)
Net Present Value 76.57 Million US$ ( at 10% discount rate)

Environmental Impact Assessment (Based on Prefeasibility Study)

Relocation of Houses 150
Inundation of Forestland 270ha
Inundation Of Forestland 290ha
Number of People Affected 825
Environmental Cost 11.81 MUS$