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icon  The India-Nepal Treaty

1.0    Pancheshwar Multipurpose Project and setting up of Pancheshwar Development Authority:


India and Nepal had signed a Treaty known as Mahakali Treaty in February’1996. Implementation of Pancheshwar Multipurpose Project is the centre piece of the Mahakali Treaty. Required field investigations for the Pancheshwar Multipurpose Project have been completed by a Joint Project Office (JPO-PI) in 2002 (except for some confirmatory tests). But mutually acceptable DPR of Pancheshwar Project could not be finalized due to differences on certain contentious issues.

During the 3rd meeting of Joint Committee on Water Resources (JCWR) held from 29.09.08 to 01-10-08 at Kathmandu ( Nepal ), it was decided to set up Pancheshwar Development Authority (PDA) at the earliest for the development, execution and operation of Pancheshwar Multipurpose Project. During the 4th meeting of JCWR held on 12-13 March, 2009 at New Delhi, draft Terms of Reference (TOR) of PDA were also discussed and it was agreed to discuss and finalize it in the next meeting of JCWR. During the 5th meeting of JCWR held on 20-22, November, 2009 at Pokhara ( Nepal ), JCWR finalized the Terms of Reference (TOR) of PDA. A Note for consideration of Cabinet Committee on Security ( CCS ) for PDA is being finalized after incorporating ans accommodating views/comments received from all concerned Ministries/ Departments.


2.0 Sapta Kosi High Dam Project and setting up of Project Development Authority to start the pre-construction activities of the Dam.


After exchange of letter of Understanding between the two Governments in June’ 2004, a Joint Project Office (JPO) was set up in August’ 2004 to undertake detailed field investigations for preparation of DPR of Sapta Kosi High Dam Project at Barakshetra, in Nepal . The field investigations include the field works of Sunkosi diversion scheme (constructing a dam at Kurule so that the Sunkosi water could be diverted to the Kamla basin through a tunnel) in the scope of work of JPO. In Kamla basin, a dam coupled with a barrage was envisaged and included in the scope of study by the JPO. Because of political instability and frequent strikes / bandhs in Nepal, the field investigations at Sapta Kosi High Dam sites are delayed. The tenure of JPO-SKSKI has been extended to February, 2013 to complete field investigation and preparation of DPR at a revised cost of Rs. 87.63 crore.

During 1st meeting of Indo-Nepal Joint Ministerial Commission on Water Resources (JMCWR), both sides agreed to expedite the completion of DPR of Sapta Kosi High Dam Multipurpose Project and Sun Kosi Storage cum Diversion Scheme by February 2013. JMCWR decided to strengthen the Joint Project Office adequately for this purpose.

In view of commencement of drilling works at main Dam Site by Nepal Electricity Authority in Dec.,2102; during 13th meeting of Joint Team of Expert (JTE) held on 23-24 December, 2012 at kathmandu,Nepal,it was agreed to seek further extension of JPO-SKSKI by another two years up to Feb.,2015. Subsequently, 4th revision of CPIB memorandum has been put up in Feb,2013 for approval of competent authority.

3.0 Kamla and Bagmati Multipurpose Projects

To carry out the Feasibility Level Study of Kamala Dam Project and Preliminary Study of Bagmati Project in Nepal , JPO-SKSKI established for Sapta Kosi High Dam Multipurpose Project has also been entrusted to undertake these works simultaneously. These studies are likely to be completed along with the preparation of DPR of Sapta Kosi High Dam Multipurpose Project and Sun Kosi Storage cum Diversion Scheme.

4.0 Karnali Multipurpose Project


At present, this project is in stalemate and there is no exchange of views between the two sides since 1998 as reported by Member (Hydro), CEA who is the joint team leader of Karnali Coordination Committee (KCC) from Indian side.

MEA is of the view that we may let the Government of Nepal take the initiative to place this project on the bilateral agenda.

Once Government of India enters into an understanding on Pancheshwar and Sapta Kosi Projects with Government of Nepal, development of Karnali Multipurpose project may be given due consideration, if the Government of Nepal takes interest in the implementation of this project.


5.0 West Rapti (Naumure) Multipurpose Project


During the visit of Mr. Oli, Hon’ble Deputy Prime Minister of Nepal in November, 2006, the Government of Nepal approached Indian Government to build the Naumure Project as grant assistance project in order to meet their internal shortage of power. They proposed to construct a 190 m high dam at village Naumure on river West Rapti . During the 3rd meeting of JCWR held during 29th September to 1st October, 2008 at Kathmandu , Nepalese side added that Naumure Project may be considered as a multipurpose project and wanted that some of the water from this project may be diverted to Kapilvastu district in Nepal .

In view of new demand raised by Government of Nepal on the augmented flow from the proposed project, Indian side agreed during the 3rd meeting of JCWR held in Kathmandu (Nepal) on September 30 - October 1, 2008 to carry out pre-feasibility study of Naumure (West Rapti) Multipurpose Project for which the required technical data was to be provided by Government of Nepal. Based on the data provided by Nepalese side, pre-feasibility study was completed by Central Water Commission in March, 2010 and a copy of the report was also handed over to the Government of Nepal during the 2nd meeting of Indo- Nepal Joint Standing Technical Committee (JSTC) held at Kathmandu ( Nepal ) on 30-31 March, 2010. During 7th meeting of JCWR,Nepalese side have made it clear that pre-feasibility report prepared by CWC is not acceptable in its present form as it does not cater to their demand of irrigation for Kapilvastu region by way of inter basin transfer.CWC inits report had concluded that Rapti Basin didn’t have sufficient water to meet all projected demands of India and Nepal.This issue shall be taken up in the next JSTC meeting.



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