Nepal envoy calls power trade a 'watershed moment', eyes joint investment in Sunkoshi-3
He said the move has brought the long-discussed vision of regional power cooperation to reality
Nepal has called for deeper cooperation with Bangladesh in energy, trade, connectivity, and the upcoming Least Developed Country (LDC) graduation, as the two countries begin cross-border power trade for the first time.
Speaking at the Bay of Bengal Conversation 2025 organised by the Centre for Governance Studies (CGS) in Dhaka today (22 November), Nepal's ambassador to Bangladesh Ghanshyam Bhandari described the recent export of 40 megawatts (MW) of hydroelectricity from Nepal to Bangladesh via India as a "watershed moment" for sub-regional collaboration.
He said the move has brought the long-discussed vision of regional power cooperation to reality.
Keep updated, follow The Business Standard's Google news channel
The ambassador also revealed that both governments are exploring joint investment in the 683 MW Sunkoshi-3 hydropower project in Nepal, terming it a "win-win opportunity" given Nepal's hydropower potential and Bangladesh's rising energy demand.
On trade, ambassador Bhandari said negotiations for a Preferential Trade Agreement (PTA) are progressing, with both sides working to reduce duties and remove non-tariff barriers.
He said that the 2019 Double Taxation Avoidance Agreement has already supported economic ties.
Highlighting the importance of connectivity for landlocked Nepal, he appreciated Bangladesh's offer to use the Mongla and Chittagong ports.
He said the Mongla port, coupled with the Rohanpur–Singhabad railway transit, could significantly boost Nepal's access to global markets. Progress under the BBIN framework on cargo and passenger vehicle movement was also noted as a step toward seamless road connectivity.
He stressed the need for joint efforts as both nations prepare to graduate from the LDC category in 2026, calling for a "smooth, sustainable, and irreversible" transition.
Referring to youth-led political developments in both countries, he said young people must be placed at the forefront of future cooperation, describing them as "drivers of change and architects of our future."
