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active· Livelihoods

Technical Assistance and Capacity Building

Nepal - Power Project - Technical Assistance and Capacity Building activity: This Activity aims to support the establishment of an independent electricity sector regulator (the Electricity Regulatory Commission or "ERC"), as well as capacity-building through technical assistance to help bring transparency, efficiency, and competition into Nepal's power sector. MCC Funding will be used to embed experts within ERC to improve ERC's skills in rule-making, dispute resolution, and economic and technical regulation. Similarly, one or more advisors will be embedded in the Ministry of Energy, and/or the Department of Electricity Development to facilitate coordination of sector regulation. This Activity will also focus on helping the Nepal Electricity Authority ("NEA") improve its transmission business in the areas of regulatory cost recovery, improved grid operations, and better system planning. Specific efforts may involve: (a) training in system and market operations; (b) financial management system improvements for transmission transactions and assets; and (c) targeted human resource policies and job classifications, so that when the Government is ready to establish an independent transmission company, the NEA has the tools and skills to become an effective operation. This Activity will also support a study to examine and address key social issues such as low income and/or marginalized groups' ability to pay for electricity or access electricity and the institutionalization of a lifeline tariff into the Government's policy statement. Finally, the Activity will support NEA's Environment and Social Studies Department in strengthening institutional capacity in social impact assessment and inclusive stakeholder engagement through the development of guidelines, tools, and training.

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USD 14.1M budget·USD 472K disbursed·Millennium Challenge Corporation implementer·Nepal location·Aug 30, 2023 → Aug 30, 2028 timeline

Overview

About this project

Nepal - Power Project - Technical Assistance and Capacity Building activity: This Activity aims to support the establishment of an independent electricity sector regulator (the Electricity Regulatory Commission or "ERC"), as well as capacity-building through technical assistance to help bring transparency, efficiency, and competition into Nepal's power sector. MCC Funding will be used to embed experts within ERC to improve ERC's skills in rule-making, dispute resolution, and economic and technical regulation. Similarly, one or more advisors will be embedded in the Ministry of Energy, and/or the Department of Electricity Development to facilitate coordination of sector regulation. This Activity will also focus on helping the Nepal Electricity Authority ("NEA") improve its transmission business in the areas of regulatory cost recovery, improved grid operations, and better system planning. Specific efforts may involve: (a) training in system and market operations; (b) financial management system improvements for transmission transactions and assets; and (c) targeted human resource policies and job classifications, so that when the Government is ready to establish an independent transmission company, the NEA has the tools and skills to become an effective operation. This Activity will also support a study to examine and address key social issues such as low income and/or marginalized groups' ability to pay for electricity or access electricity and the institutionalization of a lifeline tariff into the Government's policy statement. Finally, the Activity will support NEA's Environment and Social Studies Department in strengthening institutional capacity in social impact assessment and inclusive stakeholder engagement through the development of guidelines, tools, and training.

Record quality

95% complete

1 source · confidence 65%

Not reported by the available sources: partner organizations. This is intentionally shown as unavailable rather than estimated.

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Progress

3%
  • Plan
  • Implementation
  • Outcomes

Alignment

SDG focus

No SDGs tagged.