MCA-Nepal Relaunches Bidding for 297-Kilometre Power Transmission Line

The Millennium Challenge Account Nepal (MCA-Nepal) has relaunched the call for bids to construct a 297-kilometre power transmission line as part of the Millennium Challenge Corporation (MCC) Nepal Compact. This project aims to strengthen Nepal’s power transmission network. The new bid submission deadline is set for January 30, 2025, with the construction divided into three lots: Lapsiphedi-Ratmate-New Hetauda, Ratmate-New Damauli, and New Damauli-New Butwal.

The relaunch follows a comprehensive review of the initial bidding process, incorporating design optimizations, improved access to tower locations, and updates to commercial terms based on feedback from bidders. These adjustments address key cost drivers identified in the previous round, ensuring more cost-effective and feasible proposals.

On August 30, 2024, MCA-Nepal awarded a USD 12.36 million contract to Transrail Lighting Ltd. for the 18 km Nepal portion of the Butwal-Gorakhpur transmission line, which is expected to be completed in 21 months. “With the successful award of the 18 km segment, we are confident that the redesigned requirements for the remaining 297 km will attract strong market interest and competitive bids,” said Mr. Khadga Bahadur Bisht, Executive Director of MCA-Nepal.

This relaunch marks another key milestone in the MCC Nepal Compact, which has made significant progress in strengthening Nepal’s energy infrastructure. Contractors are already working on three 400 kV substations and the 18 km transmission line, with the remaining segments set for implementation. MCA-Nepal is committed to completing the project in accordance with both environmental and social standards set by the Government of Nepal and MCC.