Nepal as a Business Hub for Hydropower Industry : Introduction to Hydropower Industry of Nepal

Abstract

Nepal at present is suffering from the energy crisis due to the lack of enough production of electricity in the country. The main purpose of this thesis is to evaluate the present situation of electricity crisis in Nepal and provide the information to the foreign investors about the investment opportunities in hydropower sector in Nepal. The theoretical section gives the details about Nepal and electricity production scenario in Nepal. It also gives the detail about the demand and supply of electricity, investment policies in hydropower, and risks in the investment of hydropower as well as the barriers of investment in hydropower in Nepal.

Eventually, based on the theoretical overview as well as the empirical study deep analysis is done to make the conclusion of the thesis. The major problems of not being able to produce enough electricity in the country were found to be the lack of capital, lack of stable government and stable political situation. The investment policy of Nepal was found to be compatible for foreigner to invest in the country. Finally, the thesis was concluded with a finding that there are very good opportunities for investors to invest in hydropower sector in Nepal.