The Dark Days: Nepal’s Decade-long Load Shedding and Its Lesson

Abstract

Nepal is believed to have the potential for 42,000 megawatts of hydropower, which is the second-highest per capita potential in the world. Nepal is also one of the first countries in Asia to install a hydropower plant (1911 AD) with a generation capacity of 500 KW. However, the growth of the hydropower sector in Nepal remained slow for a long period as demonstrated by the fact that in the past 112 years, Nepal’s generation capacity increased from 500 KW to 2,900 MW. A more troubling fact about Nepal’s hydropower is that for ten years (from 2006 to 2017 AD) the country endured a severe load shedding, which continued under the governments of several parties, various leaders, and different executive directors of Nepal Electricity Authority. And suddenly, it ended magically, almost overnight. This raises several questions. What factors were responsible for the load shedding and why it ended so suddenly? Was this
manufactured by a nexus of policymakers, bureaucrats, commission agents, and business houses for personal gains? Or it was a result of policy failure or constraints such as lack of capital and geographical obstacles. This article sheds light on these issues. Further, the article explores whether similar load shedding is possible in the future, and if possible, for what reasons, and what needs to be done to prevent it. To answer these questions, the article collected primary data using key informant interviews and questionnaire surveys. The research found that the load shedding was a result of several factors, including corruption and policy failure, and it had
cost the country billions of dollars. The research also found that there is a possibility of another load shedding, which can be avoided through measures such as legal, financial, and public education.