Nepal’s hydropower sector represents the country’s most significant and strategic renewable resource, with 42,000-43,000 MW of economically feasible potential, positioning Nepal among Asia’s highest hydroelectric density regions. Despite this, only 3269.39 MW (7.8%) is currently operational, which reveals the possible untapped capacity. Nepal’s energy sector, driven by hydropower, is foundational for energy security and regional exports. Its direct GDP contribution remains below 4%, but the government aims to increase this to nearly 4% by 2029 to enable low-carbon industrialization.
Nepal’s Hydropower Sector: Status Quo, Strategic Trajectory, and Future Imperatives
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