India, Nepal, and Bangladesh have jointly inaugurated the first trilateral power transaction, allowing electricity to flow from Nepal to Bangladesh through the Indian grid.
Announced in 2023, the trilateral power deal will involve exporting up to 40 MW of electricity from Nepal to Bangladesh. After this, a tripartite power sales agreement was signed between NTPC Vidyut Vyapar Nigam Limited, Nepal Electricity Authority, and Bangladesh Power Development Board was signed last month. This marks a significant step in regional energy cooperation. The initiative follows a tripartite agreement signed last month, enabling cross-border electricity trade using Indian transmission lines. Nepal will export 40 MW of electricity to Bangladesh during the rainy season, from June 15 to November 15, with an estimated export of 1,44,000 megawatt-hours and projected earnings of USD9.2 million. The agreement, signed between NTPC Vidyut Vyapar Nigam, Nepal Electricity Authority, and Bangladesh Power Development Board, was delayed due to a political crisis in Bangladesh.