Under the Millennium Challenge Corporation (MCC) Nepal Project, contracts worth a total of USD 154.4 million have been signed for two transmission line sections.
The agreements were signed on Thursday in Kathmandu during a formal ceremony. The construction contract for the Ratamate–New Damauli transmission line was awarded to the Angelic–Skipper Joint Venture, while the New Damauli–New Butwal transmission line construction contract went to the Vaibhav–Salar Joint Venture.
According to MCA-Nepal, the contracts were awarded through a competitive international bidding process. With this agreement, the MCC project in Nepal has been reactivated. Present at the signing were officials from the Nepal Electricity Authority, the Ministry of Finance, MCC’s Acting Vice President, MCA-Nepal’s Executive Director Khadga Bahadur Bista, and representatives of the two companies.
The combined cost of USD 154.5 million covers the design, installation, testing, and operation of 180 kilometers of 400 kV transmission lines.
Speaking at the ceremony, MCC Acting Vice President John Wing stated that the agreements reaffirm the United States’ commitment to Nepal’s mutual priorities and development goals. “We are proud to work with our Nepali counterparts to improve electricity availability and reliability in Nepal, while also enhancing regional electricity trade and interconnection,” he said.
The MCC Nepal Compact is a historic USD 697 million investment aimed at fostering a favorable environment for private sector growth and supporting Nepal’s long-term economic development. By implementing the Electricity Transmission Project and Road Maintenance Project, the MCC Nepal Compact seeks to strengthen critical infrastructure, boost cross-border energy trade, and improve Nepal’s transportation network—thereby expanding connectivity and contributing to economic growth.
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