POWER SUMMIT 2019 6 Mangshir 2076

22 November 2019

Presented By:Dr. Subarna Das Shrestha

Sanima Hydro Email: sanima@sanimahydro.com

Inclusive and Sustainable Development of Power Projects

Sunkoshi HPP

Mai HPP

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Presentation Highlights

• Concept

• Challenges

• Case Studies

• Conclusion and Recommendation

Economic Development

Energy Security

Climate Resilience

Env. Soundness8

PAF, Stakeholders , women, poor, youth

Employment, Risk / Benefit Sharing

CSR and CSP

Royalty Sharing

Capacity Building

INCLUSIVE & SUSTAINABLE DEV. of POWER PROJECTS

Concept

PovertyUnemployment

Moral confusionPersonal interest

Political interferenceCultural differences

Language differencesBeyond PAF and SPAF

CHALLENGES

EmploymentReasonable land price,

Infrastructure HospitalTraining

Free Share

LOCAL EXPECTATION

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Challenges - Sustainability

Sustainability of Power Projects

Competition Technical/Environmental Financial Market

Solar

Coal

Thermal

River Flow/

Global Warming

Geology

PPA

Project Cost

Natural Hazard

Domestic

Regional

Case of Hydropower Projects

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Information Disclosure

Employment

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Case of Hydropower Projects

0

100

200

300

400

500

600

700

Mai Sunkoshi Likhu Tamor Mailung

Construction Phase

Construction Phase Total workers Construction Phase Local workers

Sharing approach with locals

Monetary

• Royalty Sharing

• Equity Share

• Community Development Fund

• Local Share

Non Monetary

• Employment• Local Infrastructure Support• Health/Education • Livelihood Support• Environment Enhancement 9

LOCAL SHARE /IPO :

Nos of people benefited

Total Paid-up Capital 1,055,000,000

Bank Loan 3,502,975,000

Promoter Share (70%) 738,500,000

Public Share (IPO)

Local IPO (10%) 105,500,000 3,861

General IPO (20%) 211,000,000 65,752

Case of Hydropower Projects: Sanima Mai Hydro

ROYALTI SHARING: Fiscal Year 2075-076

Mai & Mai Cascade HPP (22+7Mw) 1,918,4000

Sunkoshi Hydropower Project (2.6Mw) 1,413,545

Community Support

Programme

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Case of Hydropower Projects

12Irrigation & Water supply for Local community

Livelihood SupportCase of Hydropower Projects

Skill Development (Trainings)

Electro-

mechanical

Wiring/Plumbing

Women empowerment , Knitting/cooking

Related to construction

work

Carpentry

Welding/Plumbing

Watershed management

Beautician

Trainings on diverse sectors are provided to the locals

Vegetable

Farming

Pre- Construction PhaseConstruction & Operational Phase

Masonry Wall,

Gabion Wall

Bar Bending

Form Work

Plumbing13

Case of Hydropower Projects

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Case of Hydropower Projects

Knowledge/skill TransferParticipation of PAP during the project’s function

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Recommendation/Conclusion

Inclusive and Power Projects go hand in hand for sustainability

Information disclosure is key to remove dilemma of PAP towards power projects

Effective ESMS and CSP helps to synchronize projects with people and nature.

Local participation /benefit sharing : Key to success

Regional Energy Market:

In the country context only RoR project could not be sustainable (should be mix of RoR,PRoR and storage) whereas with regional connectivity only RoR could also besustainable due to energy mix theory (solar, thermal, wind etc)

Flow of Royalty to local level

Thank You

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