Recent floods and landslides have severely damaged Nepal’s hydropower sector, leading to approximately 1,000 megawatts (MW) of electricity being disconnected from the national grid. In response, Biraj Bhakta Shrestha, the Minister of Energy, Water Resources, and Irrigation, has emphasized the need for a comprehensive “whole river control” project to secure future energy infrastructure against climate change and natural disasters.
More than 27 hydropower projects, with a combined capacity of 1,292 MW, were affected by continuous rainfall and floods from September 25-28, 2026. This extensive damage has raised concerns about potential load shedding and the safety of hydropower structures in the face of climate change.
Widespread damage to hydropower projects
The Kaligandaki corridor’s 220 kV transmission line, specifically the Dana-Kusma section in Myagdi district, suffered significant damage to its towers. This disruption has halted the transmission of 190 MW from seven hydropower projects, including Nilgiri 1, 2, Mistri, Thapa Khola, Rele Khola, and Ghalemdi. Preliminary estimates suggest that restoring production from these projects could take several months.
Additionally, the switchyard of the 40 MW Rahughat Hydropower Project was damaged by erosion from the Kaligandaki River, pausing its test production. Repairs are expected to take about 10 days to bring the project back online.
Earlier, on August 26, 2026, floods in the Bhote Koshi and Trishuli rivers caused damage to the Upper Trishuli 3B 220 kV hub and other projects, taking 430 MW offline. The Nepal Electricity Authority (NEA), the state-owned power utility, and its subsidiaries faced an estimated loss of approximately Rs 74 billion from this incident.
However, some progress has been made in restoration. By October 28, 2026, projects in the Seti/Madi corridor (262 MW) and Marsyangdi corridor (190 MW) were back in operation. The 144 MW Kaligandaki ‘A’ project was also expected to resume operations by the evening of the same day.
Unannounced load shedding persists
Despite the NEA’s claims that load shedding is a thing of the past in Nepal, industries across the country are reportedly experiencing unannounced power cuts lasting up to 12 hours. The NEA attributes these outages to technical issues. To meet the expected electricity demand during the upcoming dry season, the NEA plans to import 1,154 MW of electricity from India, supplementing its domestic production of 1,218 MW to cover a projected peak demand of 2,292 MW.
New measures for river control and disaster resilience
Minister Shrestha, who completed six months in his role on March 27, 2026, stated on October 4, 2026, that new standards are essential to safeguard hydropower projects from climate change and natural disasters. He emphasized that the focus should no longer be solely on electricity generation but also on comprehensive river control projects.
The Ministry of Energy, Water Resources, and Irrigation is currently developing a draft procedure titled ‘Emergency River Control and Flood-Landslide Rehabilitation Procedure, 2083’. The government has also formed a technical committee to oversee the reconstruction of affected hydropower corridors.
Madhesh province also heavily impacted
Meanwhile, Madhesh Province has also faced severe humanitarian consequences from various disasters. In the first two months of the current fiscal year 2083/84 (July and August), the province recorded 459 disaster events, resulting in 92 deaths and affecting over 500 families. Flooding and inundation have particularly impacted rural settlements, roads, and other critical infrastructure.
The Sunkoshi Marin Diversion Multipurpose Project aims to provide irrigation facilities to approximately 120,000 hectares of land across eight districts in the Tarai-Madhesh region, addressing long-term agricultural needs in the area.
While the government has initiated steps to address the damage and plan for future resilience, the detailed plan and implementation modality for the proposed “whole river control” project remain unclear. Further information is also awaited regarding the timeline for the new hydropower standards, the full reconstruction of damaged projects, and a long-term solution for the persistent unannounced load shedding affecting industries.
