KATHMANDU: The Nepal Electricity Authority (NEA) has sold electricity worth Rs 1.72 billion to India in June.

The NEA had begun selling surplus power to the Indian Energy Exchange (IEX) on June 2. The first export of electricity had begun from the 24-MW Trishuli and 15-MW Devighat hydropower projects. Later from June 10, NEA started to export 364 MW at competitive rates.

The NEA sold 177,191,000 units of electricity at an average rate of Rs 9.67 per unit, earning Rs 1.72 billion after all charges in June, according to the NEA.

NEA Managing Director Kulman Ghising said that electricity trade in the Indian competitive market, which Nepal started since last year, has moved forward more effectively from this year.

Ghising said, “Looking at the amount of electricity exported in June and the earnings from it, the electricity trade with India has moved forward effectively.”

The electricity is sold in the IEX in 96 blocks of 15 minutes each day.

The highest selling record the NEA made was on June 15 and lowest was on June 21. Power exported traded at the rate of Rs 15.31 per unit on June 15 and Rs 4.92 on June 21.

“At a time when the current foreign exchange reserves are strained, we have been able to earn foreign exchange by selling surplus monsoon electricity after consumption in the country,” he added. “This will help reduce Nepal’s trade deficit with India and also contribute to the country’s balance of payments savings.”

He said that the export of electricity is projected to be around Rs 5 billion in the current fiscal year and around Rs 20 billion in the coming year.

India had granted approval to NEA to sell 325 MW of electricity to the Indian market On April 6.

NEA has received approval to sell 140 MW of electricity from the NEA-owned 144MW Kaligandaki A, 68 MW from the 70MW Middle Marsyangdi, 67 MW from the 69MW Marsyangdi, 51 MW from the 52.4MW Likhu-4 hydropower project.

NTPC Vidyut Vyapar Nigam Ltd. (NVVN) is the liaison body for electricity trade with Nepal.

NVVN sends daily transaction details to NEA every day at 6 pm.