Nepal Private Sector-Led Mini Grid Energy Access Project (MGEAP)

Alternative Energy Promotion Centre (AEPC) is the apex government body under the Ministry of Energy, Water Resources and Irrigation, established to promote the use of renewable energy technologies to meet the energy needs in Nepal. AEPC is implementing “The Nepal: Private Sector-Led Mini-Grid Energy Access Project (MGEAP)” supported by Government of Nepal and the World Bank. The objective of the Project is to increase electricity access and delivery from renewable energy (Micro/Mini Hydro, Solar, Wind, Solar/Wind Hybrid Subprojects and Bio-gas Subprojects) by mobilizing Energy Service Companies (ESCOs) and Private Developers in selected areas in socially acceptable and environmentally sustainable manner. The Project will deliver financing support to the ESCOs and private developers to facilitate financial closure and enhance financial viability of the subprojects, provided in the form of and subsidy from AEPC and loans through the Partner Banks (PBs), Class ‘A’ Commercial Banks.

The project consists of three components (1) Credit Facility to support renewable energy Mini Grid Subprojects, (2) Technical Assistance to the Mini Grid sector, Bio-gas Sector, Energy Service Companies (ESCOs), Private Developers, Partner Banks (PBs) and Project Management Support and (3) Financing of Investment in Bio-gas Subprojects from Bio-gas Project (Provision of subsidy payments on behalf of beneficiaries for the partial financing of selected bio-gas subprojects for bio-gas energy generation from waste).The main objective of MGEAP is to increase electricity generation from renewable energy mini-grids (Solar, Wind, Solar/Wind, Micro/Mini Hydro and Bio-gas) in selected areas by mobilizing private sectors.

List of subproject implemented under MGEAP are;

Completed Large Bio-gas Subprojects with Locations

List of 14 Bio-gas Subproject Completed Under MGEAP

Construction Ongoing Subprojects under MGEAP with locations in Nepal’s map