A group of banks has agreed to finance about US$23.7 million for the 10 MW Langtang Khola hydropower project in the Himalaya region of Nepal.
The consortium, led by Nepal-based Sunrise Bank Ltd., is formed by Sidhhartha Bank Ltd., Nepal Credit and Commerce Bank Ltd. and Janata Bank Nepal Ltd.
Multi Energy Private Ltd. is developing the project on the Langtang River located in the Rasuwa district and it is scheduled to complete within three years. The project’s total investment amounts to US$32.16 million.
In 2014, Nepal Electricity Authority (NEA) canceled the power purchase agreements of nine hydro projects including Langtang, alleging they did not submit progress reports and did not begin the construction process. But, in September 2015, NEA issued a license for the project, which is valid until 2051.