The Independent Power Producers’ Association Nepal (IPPAN) and Nepal Small Hydropower Developers’ Association Nepal (SHDAN) submitted a three-point demand letter to Minister for Water Resources Bishnu Poudel on Monday.
The government had earlier set seven rupees per unit for dry season and four rupees per unit for monsoon. As per government definition only four months –mid-December to mid-April – are dry season.
But the two associations have termed the definition as illogical and unscientific. “We demand that government declare six months as dry season and the other six months as monsoon,” the letter said. Also, the letter added that climate change has caused extension of dry season and it is necessary to revise the definitions.
The hydropower producers have also demanded that the government scrap the provision of penalizing the producers who fail to generate the said volume of electricity in a year as mentioned in the power purchase agreement.
The associations have claimed that owing to unanticipated nature of dry season witnessed in the recent years, the producers have been facing various difficulties beyond their capacity to cope.
Similarly, the associations have urged the government to enforce the new PPA rate for those who signed PPA prior to enforcement of the new provision.
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