Korea Electric Power Corp. (KEPCO) of South Korea is to build the 42-MW Upper Modi A hydroelectric project in Nepal in joint venture with the government utility.
KEPCO said it entered a joint development agreement with Nepal Electricity Authority (NEA) to carry out Upper Modi A, which is to provide 7 percent of Nepal’s electric capacity.
The Korean utility is to build the US$80 million plant and operate it for 30 years.
KEPCO and NEA are to receive equity interests, in proportion to their cash contributions, in a special purpose vehicle to oversee the project. The proportion of their equity interests are to be determined by a joint development committee, KEPCO said.