<figure><img width="1198" height="1227" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/2022111016114/636d13819c7e80680e0a9926jpeg.jpg" alt=""/><figcaption>Photo: BIKRAM RAI/ NEPALI TIMES ARCHIVES</figcaption></figure>Nepal could lose Rs142 billion a year in wasted surplus energy if the <a href="https://www.nepalitimes.com/editorial/just-do-it/" target="_blank" rel="noopener noreferrer">Millennium Challenge Corporation (MCC)</a> project designed to upgrade the electricity grid and highways is not endorsed by Parliament.
Nepal is currently generating 2,000MW of <a href="https://www.nepalitimes.com/editorial/manpower-and-hydropower/" target="_blank" rel="noopener noreferrer">hydroelectricity</a> with an additional 2,500MW under construction. This figure will soar to 7,300MW by 2025 as per Nepal Electricity Authority (NEA) estimates.Presently, Nepal consumes 1,500MW of electricity during the peak season, which is increasing by 20% every year. At this rate, in the next four years, the peak demand will be at 2,600MW, which means there will be an excess of 4,700MW.  
Nepal can export this surplus power to India and there are already agreements in place to facilitate trade between the two countries, but the existing Dhalkebar-Muzaffarpur cross border <a href="https://www.nepalitimes.com/latest/mcc-damned-if-we-do-damned-if-we-dont/" target="_blank" rel="noopener noreferrer">transmission line</a> can only handle 800MW each way. 
“If Nepal is unable to sell excess energy, we will be losing Rs142 billion every year. At a time when we are lagging in infrastructure, we shouldn’t stop the MCC from being approved,” says Dinesh Shrestha, chair of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI).
FNCCI, Confederation of Nepalese Industries (CNI), Nepal Chamber of Commerce, Federation of Contractors’ Associations of Nepal, Independent Energy Producers’ Association and Nepal-US Chamber of Commerce and Industry have submitted a memorandum to Prime Minister Sher Bahadur Deuba urging the government to stop delaying <a href="https://www.nepalitimes.com/latest/missing-links-in-nepals-mcc-debate/" target="_blank" rel="noopener noreferrer">the five-year compact</a> and implement it soon. 
This is the private sector’s second memorandum to the government in a month. The group also states that some 7,000 Nepalis will be employed during the construction phase of the MCC, which also includes the upgrade of arterial highways to facilitate efficient transportation. The FNCCI memo comes just before the arrival in Kathmandu on Wednesday of US Assistant Secretary for South and Central Asian Affairs, Donald Lu during which he is expected to discuss the MCC ratification with Prime Minister Deuba and other party leaders.It is an indication of the importance the US attaches to the project that Deputy Assistant Secretary for South ans Central Asian Affairs Kelly Keiderling also arrives in Kathmandu on Thursday. Deuba met US President Joe Biden at the COP26 Glasgow summit two weeks ago, and revealed that he and Maoist leader Pushpa Kamal Dahal had written jointly to the US government saying the MCC would be ratified. But the project has become such a political hot potato in Nepal that Dahal quickly backtracked, clarifying that he had only said that it needed amendments before being passed. A large chunk of the US-aided $500 million grant project is set aside to build the Kathmandu-Hetauda-Butwal 400KVa transmission line which will distribute electricity from existing and new hydropower plants on the Budi Gandaki, Trisuli, Kali Gandaki, Marsyangdi, Kosi, and Tamakosi corridors, and also connect to a high-capacity line to Gorakhpur so Nepal can sell surplus monsoon electricity to India.  
In fact, in anticipation of the MCC project being completed, the NEA <a href="https://www.nepalitimes.com/latest/india-nepal-sign-power-exchange-deal/" target="_blank" rel="noopener noreferrer">signed an agreement</a> with the state-run Power Grid Corporation of India (POWERGRID) for the Butwal-Gorakhpur cross border transmission line extension two months ago in September, ahead of MCC vice president <a href="https://www.nepalitimes.com/banner/mcc-ball-in-nepals-court/" target="_blank" rel="noopener noreferrer">Fatema Z Sumar's visit to Nepal</a>.
But the MCC, the biggest grant aid Nepal has ever received has become the victim of intense power struggle and political infighting within the country. It was first weaponised to unseat K P Oli and now <a href="https://www.nepalitimes.com/latest/mcc-row-rocks-nepals-ruling-coalition/" target="_blank" rel="noopener noreferrer">threatens to split the ruling coalition</a> led by Prime Minister Sher Bahadur Deuba. 
The project is seen by the critics as part of America’s Indo-Pacific Strategy to counter China’s Belt Road Initiative. The anti-MCC rhetoric has gained such momentum that the public is convinced it supersedes Nepal’s Constitution and is anti-national, forcing even the staunch supporters from speaking in its favour.
Adds FNCCI’s Dinesh Shrestha: “The MCC is crucial for Nepal’s energy sector and <a href="https://www.nepalitimes.com/editorial/knowing-whats-good-for-nepal/" target="_blank" rel="noopener noreferrer">is to our benefit</a>. Moreover, this is a grant, not a loan. Further delaying and cancelling the compact will <a href="https://www.nepalitimes.com/latest/mcc-row-damages-nepals-credibility/" target="_blank" rel="noopener noreferrer">tarnish Nepal’s image and credibility</a> in the world community.”
MCC or no MCC, one thing is for sure. Nepal must build transmission lines and upgrade its electricity grid one way or the other so as not to waste surplus energy it is set to generate in the near future. 
Alternatively, experts say, the government must work immediately to <a href="https://www.nepalitimes.com/editorial/good-cop-bad-cop/" target="_blank" rel="noopener noreferrer">electrify transport and cooking</a> for domestic consumption of surplus power and reduce its import bill on petroleum products and LPG.

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The cost of no MCC

<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110141132/636cfdd29c7e80680e0a0c06jpeg.jpg" alt="" width="1198" height="1227"/><figcaption>Photo: BIKRAM RAI/ NEPALI TIMES ARCHIVES</figcaption></figure>The most tangible collateral damage of Nepal’s <a href="https://www.nepalitimes.com/editorial/they-fail-we-fall/" target="_blank" rel="noopener noreferrer">chronic political instability</a> is going to be the effort to streamline Nepal’s electricity grid. Politicians have weaponised the US-supported <a href="https://www.nepalitimes.com/here-now/power-politics-delays-mcc-in-nepal/" target="_blank" rel="noopener noreferrer">Millennium Challenge Corporation (MCC) infrastructure grant</a>, and the much-needed project is stuck.An agreement for the $500 million project was signed by the Nepali Congress (NC) Finance Minister Gyanendra Bahadur Karki in Washington DC four years ago. But since then, it had become a <a href="https://www.nepalitimes.com/editorial/knowing-whats-good-for-nepal/" target="_blank" rel="noopener noreferrer">political football </a>in the great game between prime Minister K P Oli and his nemeses Pushpa Kamal Dahal and Madhav Kumar Nepal.The first hint that the MCC controversy was carrying over to the new government was that it was not included in the ‘common minimum program’ agreed to between the five coalition partners on 9 August.The Maoists and the Nepal faction have used the MCC so effectively to bludgeon Oli’s government that the rank-and-file are dead against the project. They are convinced it will allow the US military to build missile silos in Nepal aimed at China.<a href="https://www.nepalitimes.com/latest/using-the-delay-in-mcc-to-dissect-it/">Putting the MCC in context</a>, Jeevan R Sharma and David SeddonThe MCC was launched by the US government in 2004 as an innovative way to end poverty in least developed countries. Nepal met the eligibility criteria and was selected as a partner, and planning for the MCC started during the government of Baburam Bhattarai in 2012. Bhattarai is now in the five-party alliance as a part of the JSP.Critics have used ultra-nationalism and populism to portray the MCC as a form of US neo-colonialism and imperialism. The Americans fuelled the fire themselves when a US undersecretary of state admitted in 2019 that the MCC was a part of the US Indo-Pacific Strategy aimed at encircling China.Washington back-pedalled, but the damage was done. There are many who do not need convincing that the MCC in Nepal is America’s geo-strategic response to<a href="https://www.nepalitimes.com/latest/bri-and-trans-himalayan-connectivity/" target="_blank" rel="noopener noreferrer"> China’s Belt-Road Initiative</a>.But because of this political impasse, work on urgently needed electricity transmission lines and highway upgrading has not started. The cost of not having this infrastructure in place will be much more than the $500 million outlay of the project.<a href="https://www.nepalitimes.com/banner/own-goal/">Own Goal</a>, Kunda DixitThe main objective of the MCC is a 315km transmission line between Hetauda-Damauli-Butwal. This power line is critical for the east-west distribution of the 3,000MW of electricity that will be <a href="https://www.nepalitimes.com/opinion/decentralising-hydropower/">added to Nepal’s national grid</a> in the next three years, nearly double the current generation capacity. Another 2,500MW worth of projects are awaiting power purchase agreements with the NEA and will depend on the MCC transmission lines being in place.Nepal’s current power need is 1,500MW at peak hours, and despite suppressed demand due to shortage and cost, it is not expected to increase by much in the next three years. Which means Nepal will have a <a href="https://www.nepalitimes.com/latest/generating-electricity-and-cash-for-nepalis/" target="_blank" rel="noopener noreferrer">monsoon surplus</a> that can be exported to India, and for this, the cross-border 400KV transmission line from Butwal to Gorakhpur will be necessary.At present, Nepal imports electricity from India through the Dhalkebar-Muzzafarpur power corridor that has a capacity of handling only 800MW. The MCC line would increase this to 2,600MW, but if the Butwal-Gorakhpur transmission line is not built in the next few years, much of the surplus electricity generated in Nepal is in danger of being wasted, or 'spilled' in technical parlance.Even if the MCC is <a href="https://www.nepalitimes.com/latest/post-truth-politics-in-nepal/" target="_blank" rel="noopener noreferrer">never ratified by Parliament because of the political deadlock</a>, Nepal needs to immediately start building these transmission lines by itself. Private power producers in Nepal have signed agreements with NEA on the understanding that the transmission lines will be in place to evacuate the electricity they generate.Because of the nature of the monsoon and Nepal’s east-west territory, there will be surplus electricity in the east while there is a deficit in the west, so the transmission lines are even more critical to balance the national grid.<a style="font-size: 15px; letter-spacing: 0.01em;" href="https://www.nepalitimes.com/latest/mcc-row-damages-nepals-credibility/" target="_blank" rel="noopener noreferrer">This is too serious a subject</a> to be left to politicians, or to geopolitics. The NEA’s new head Kulman Ghising needs to sit down with the MCA’s Khadga Bahadur Bista and resolve this one way or another right away.In the 1960s, at the height of the Cold War and despite sensitivities after the India-China war, King Mahendra went ahead with the Kodari Highway linking Kathmandu to Lhasa. That is the kind of leadership we need now, one that will not be terrified about <a href="https://www.nepalitimes.com/latest/is-china-now-micro-managing-nepal-politics/" target="_blank" rel="noopener noreferrer">what one or the other neighbour will say</a>, but decide what is in the national interest and just do it.Ramesh KumarRead also:<a href="https://www.nepalitimes.com/editorial/a-millennium-challenge/">A millennium challenge</a>, Editorial<a href="https://www.nepalitimes.com/from-the-nepali-press/why-there-is-no-foreign-investment-in-nepal/" target="_blank" rel="noopener noreferrer">Why there is no foreign investment in Nepal</a> , Nepali Times

Challenge of the millennium

<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221109101132/636b73d99c7e80680e062360jpeg.jpg" alt="" width="1500" height="1294"/><figcaption>Illustration : DIWAKAR CHHETRI</figcaption></figure>After deciding that Nepal meets criteria for democracy, transparency and governance, a donor government wants to give the country $500 million to improve transmission lines and highways. Governments of major parties all enthusiastically endorsed the deal in the last eight years.But now the grant from the Millenium Challenge Corporation (MCC) is stuck because it has become a political football in the power struggle between two top ruling party leaders.Prime Minister K P Oli and former Maoist supremo Pushpa Kamal Dahal are competing for power, influence and succession within the Nepal Communist Party (NCP). Disgruntled former UML leaders like Bhim Rawal say the <a href="https://www.nepalitimes.com/here-now/nepal-now-has-to-balance-not-just-india-and-china-but-also-the-west/" target="_blank" rel="noopener">MCC is a sellout to the United States</a>. <a href="https://www.nepalitimes.com/editorial/a-yam-between-3-boulders/" target="_blank" rel="noopener">Geopolitics is a factor</a> because the MCC is seen as <a href="https://www.nepalitimes.com/opinion/guest-editorial/em-powering-south-asia/" target="_blank" rel="noopener">America’s response to China’s Belt and Road Initiative (BRI).</a>At the NCP Central Committee meeting last week, Dahal praised the BRI but was silent on the MCC, while Oli spent 30 minutes of his two-hour speech defending the grant. He said: “We need transmission lines. If the Americans want to build them for free, what’s the problem? I want to assure comrades that there are no strings attached.”Read also: <a style="background-color: #ffffff; font-size: 15px; letter-spacing: 0.01em;" href="https://www.nepalitimes.com/editorial/awesome-party/?preview_nonce=8a194f6d6b&amp;preview=true" target="_blank" rel="noopener">Awesome Party</a>, Editorial<a href="https://www.nepalitimes.com/latest/mcc-row-damages-nepals-credibility/" target="_blank" rel="noopener">MCC row damages Nepal’s credibility</a>, Ramesh KumarOli’s critics within the party also include former UML colleagues and ex-PMs Madhav Kumar Nepal and Jhalnath Khanal, who have turned against Oli because he sidelined them. Co-chair Dahal is perceived to be actively undermining the MCC from behind the scenes.“We have a huge resource gap, and we have to trust Parliament to make the right decision, but there are NCP members who have vowed to never let it pass, and other NCP are strongly backing it,” MP Gagan Thapa of the opposition Nepali Congress told a roundtable on the issue organised by Himalmedia on Wednesday.Indeed, the most vehement criticism of the MCC is not from the opposition NC, but from the Dahal-backed faction within the ruling party itself. Dahal is impatient to replace Oli, and it is looking like he is scoring an own goal for Nepal by using the MCC to undermine the prime minister.“A taskforce has been formed that will clear this up. It is not a big problem to pass this within this Parliament session,” a confident Oli told a gathering of  editors on Tuesday.Read also:<a href="https://www.nepalitimes.com/here-now/which-way-nepali-politics-in-2020/" target="_blank" rel="noopener">Which way Nepali politics in 2020?,</a> Saindra Rai<a href="https://www.nepalitimes.com/from-the-nepali-press/why-there-is-no-foreign-investment-in-nepal/" target="_blank" rel="noopener">Why there is no foreign investment in Nepal</a> , Nepali TimesMost former bureaucrats agree that the MCC is a catalytic project to jump-start the economy through grid and highway connectivity. In fact, all major power purchase agreements with private sector developers need the MCC’s planned 400kVA transmission network to evacuate the electricity they generate.Nepal’s former ambassador to the UN Gyan Chandra Acharya says all foreign aid projects have conditions. “It is in our national interest to improve energy security, so we have to decide where the US strategic policy intersects with our own long-term interests.”Former finance secretary Rameswar Khanal says the US has used the same legal template for agreements with all 38 other MCC partners, and sums up the reason for the deadlock: “The MCC is victim of an internal party dispute.”

Kunda Dixit

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Own Goal

Nepal is known internationally for its successful community forestry programme, and the country has doubled its forest cover to over 45% in the last 25 years.&nbsp; But the opposite is true for densely populated urban centres like Kathmandu Valley which have turned into concrete jungles, with no remaining open spaces. Air pollution is increasing to hazardous levels, and the urban heat bubble means the temperature in the city is 2°C-3°C higher than in the outskirts. But there is a solution with a proven track record from similar densely populated cities in Japan — the ‘Miyawaki Method’ of growing local varieties of trees in any small patch of land in the city and turning them into compact forests. Named after Japanese botanist Akira Miyawaki in the early 1970s, carefully selected native trees and plants grow in tiny plots of land, or even in household backyards. They regenerate degraded urban soil, and help restore some greenery and biodiversity back to sterile city centres. The group Lily Leaves has planted Miyawaki forests in six sites across Kathmandu, and is on a mission to green all the river corridors in the Valley. So far, it has planted more than 17,000 trees belonging to nearly 40 species in patches of land along the Bishnumati and Swayambhu, and is eyeing the UN Park area along the Bagmati. “It is extremely important to connect with nature and greenery in cities,” says Lily Katuwal of Lily Leaves. "Besides restoring nature, these forests also clean air pollution and reduce summer temperatures.” Unlike traditional reforestation where trees of the same species are planted in bulk at a distance of 3-4m, Miyawaki prioritises native varieties best suited to Kathmandu Valley’s microclimate. The saplings are packed densely together, spaced only 60cm apart. After they start growing, native grass and undergrowth also thrive. The most recent plantation was along the banks of the Bagmati in Sanepa where, in addition to camphor and jacaranda which are grown in the area, native species such as kabro (Ficus lacor), kanike (Forget-me-not), parijat (Night-flowering Jasmine or Coral Jasmine), chanp (Plumeria), harro (Ink Nut) and barro (Bahera) were planted. A new site in Kirtipur is being readied for the next plantation. Miyawaki has been carried out elsewhere in various parts of Nepal, primarily in Dhanusha which has seen forest regrowth that has brought back insect, bird, reptile and amphibian life.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120428_e70c196852945760d082fc73ee18ea6883d13c16186893c00c10fd0a0ea12105.jpg" data-media-id="editor_0" data-image-id="20260402120428_e70c196852945760d082fc73ee18ea6883d13c16186893c00c10fd0a0ea12105" data-rendition-name="original" width="1201" height="1600" loading="lazy" alt="Planting seeds for a greener Kathmandu"> </figure>  EMPOWERING WOMEN Lily Leaves employs just 17 women, six of whom have hearing disabilities. Many have been neglected or abandoned by their in-laws for various reasons. They have a livelihood and learn new skills so they can also find jobs elsewhere.&nbsp; “We trained them in plantation and other skills including tailoring, as well as jewelry, bag and reusable pad making,” says Katuwal. “They are now experts in planting trees.”&nbsp; Lily Leaves gets support from Pipal Tree International in the UK and Nepal, and hopes that the idea of compact urban forest spreads. This is especially important in areas like Taudaha, which is an important stopover for migratory birds. Once noted for its aquatic and avian biodiversity, Taudaha has become lined with concrete and has turned into a loud picnic spot. Urban expansion has encroached upon what used to be the floodplain of the Dhobi Khola, Bishnumati, Bagmati and Manohara rivers. The open spaces along the river corridors are being turned into green belts haphazardly. For many wards, the concept of green space is to have cement pavements and ornamental hard-to-maintain potted plants instead of allowing urban forests to grow back naturally. “Apartment buildings and housing colonies that are being constructed can include green spaces that can increase the real estate and rent value of property,” Katuwal says. “Engineers designing the buildings can suggest such changes so that we remain connected with nature.” Although Lily Leaves needs to have permission from local ward and municipal councils before implementing any program, it continues to face challenges in ensuring smooth coordination.&nbsp; In one such plantation along the Bishnumati River corridor, for example, a heavy earthmover uprooted young trees that were just beginning to thrive. Despite this setback, Katuwal’s team returned to replant them. The land mafia often covets the last remaining open spaces in Kathmandu, deploying local strongmen to try to take them over. &nbsp;They tear down fences, uproot saplings and loot tools. There is a lack of awareness about the importance of greening the city. But now that the former mayor of Kathmandu Balendra Shah is prime minister, national awareness could translate into more urban forests not just in Kathmandu but also in overcrowded urban centres across Nepal. Says Lily Katuwal: “We just plant the seed in people’s minds. Once people in the neighbourhood see that restoring nature lifts their quality of life and increases land prices, there is support. That is when the power of a good example spreads, and communities build on the idea.” &nbsp;

Planting seeds for a greener Kathmandu

It is only April, and Himalayan expeditions are already making rotations to acclimatise on Annapurna and Dhaulagiri, and will soon be making summit pushes.&nbsp; On Mt Everest, Icefall Doctors are fixing ropes and ladders into the Western Cwm as international climbers arrive at Base Camp. Spring 2026 is going to be the busiest and most crowded so far in the Nepal Himalaya. The main reason is that China has closed expeditions from the north side for eight-thousanders Everest and Cho Oyu, and also Xixapangma.&nbsp; The closure is informal, from what one can make out. The Chinese have not put out any official statement, but there are no permits either. The reason seemingly was the ‘Rising Dragon’ firework display last September by pyrotechnic artist Cai Guo-Qiang near Xigatse.&nbsp; Working with outdoor wear company Arc’teryx, Guo-Qiang set off an impressive sequence of orange and white fireworks that wound up a mountain. The spectacular display was criticised for damaging the fragile ecology of the Tibetan Plateau. But this cannot be the only reason the north side is closed. Experienced Everest blogger Alan Arnette anticipates that about 125 climbers will shift to the Nepal side of the mountains, and expects there to be up to 900 summits this spring — up from the highest spring number so far of 876 climbers on top in 2019.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260404050428_8c31812bf38f699c4faa74f25814a6ddaee397f71a629e549023f29250f05082.jpg" data-media-id="editor_0" data-image-id="20260404050428_8c31812bf38f699c4faa74f25814a6ddaee397f71a629e549023f29250f05082" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="mountaineering"> <figcaption>Photo: KARMA TENZING</figcaption> </figure>  The early Base Camp arrivals are having problems with their first rotations because of heavy snow this season. Unlike previous springs, this year has seen back-to-back blizzards at high altitudes since February. The increased snow load on the slopes have increased avalanche danger right across the mountains.&nbsp; There has been an increase in numbers on Everest despite the West Asia war, flight disruptions, LPG shortage and new regulations. The permit fee has gone up for the first time since 2015 from $11,000 to $15,000 this year.&nbsp; The Tourism Bill passed by Nepal’s Upper House last year would have required climbers to have first summitted a 7,000m peak in Nepal before attempting Everest. However, the Department of Tourism has confirmed that there are no new experience requirements this season. Some want this rule changed to include 7,000m peaks anywhere in the world. That could be one reason people are rushing to climb Everest before the Nepal government changes its mind and enforces the new regulations on prior experience on Everest. “It’s probably going to encourage a lot of people that simply are not ready to go,” reckons Alan Arnette. “Once again, we may see a lot of inexperienced people on the mountain trying to get in before the rule comes into place, if it does.”&nbsp; Arnette has always been sceptical of Everest regulations, and points out many instances where rules have been announced but not implemented over the ten years that he has been tracking them. For example, a helicopter ban to Everest Base Camp was announced last year, but rescinded. A rule requiring climbers to bring down waste was never seriously enforced. Since there is so much money involved for the government and for the operators, any any rule that would reduce revenue is never fully implemented. This year there is another ‘High-Altitude Trash Quota’ rule requiring climbers and guides operating above Camp 2 to collect and bring down at least 2kg of waste from the higher camps.&nbsp; The Nepal government has tried to diversify peaks on offer by reducing the royalty on climbs, but the draw of Everest, Annapurna and other eight-thousanders seems to be too great. Even when the permit fees for some remote peaks like Kangri Shar, Himlung and Api, were reduced to $400, there are few takers.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120436_a90cd44858e97086f773aa1fbd592b3434bb07d89cd4a1843b2ca32a84e7c72d.jpg" data-media-id="editor_1" data-image-id="20260402120436_a90cd44858e97086f773aa1fbd592b3434bb07d89cd4a1843b2ca32a84e7c72d" data-rendition-name="original" width="1500" height="1125" loading="lazy" alt="Photo Damien Francois"> <figcaption>Photo: DAMIEN FRANCOIS</figcaption> </figure>  TIME LAPSE Clients and expedition operators have been trying to shorten the time needed to complete an Everest expedition from the city of origin to the top and back. Since Nepal has no rules about spending a certain number of days in acclimatisation, this has allowed some expedition organisers to use new technology.&nbsp; Austrian operator Lukas Furtenbach last May led a group of four British ex-military clients to the summit within a week of leaving London. This climb was scrutinised because the group had practiced breathing xenon gas, a substance that increases the count of red blood cells and is banned in competitive sports. The climbers had also trained for months at home in hypoxic tents, and used supplemental oxygen during the actual climb.&nbsp; The success of that expedition prompted an investigation by Nepal’s Ministry of Culture, Tourism, and Civil Aviation, but there was nothing it could do because the team had taken the xenon in Germany two weeks before their trip. But even if they had administered the gas in Nepal, it would technically not be illegal. Furtenbach is firmly in favour of speed, and of using the gas. “The only reason why we are working with xenon is to make climbing safer, to protect climbers from high altitude sickness,” he says, arguing that the less time climbers spend on the mountains, the less their exposure is to disasters, sickness, and they also generate less trash.&nbsp; His firm, Furtenbach Adventure, offers a three-week Everest South Flash expedition, at a cost of €100,000, using custom oxygen systems. Other expeditions take up to two months.&nbsp; A young American duo of Ryan Mitchell and Justin Sockett got to Everest Base Camp five days ago. They are preparing for an oxygen-free summit attempt.&nbsp; ‘ Being around these mountains for one day has already brought me so much joy. Every time I come back to the Khumbu I feel more familiar and connected,’ posted Mitchell. He and Sockett have since summitted Lobuche East (6,119m) as they continue to acclimatise and wait for the Khumbu Icefall route to be fixed.&nbsp; There are other sans-O2 trips planned this climbing season in Nepal. Norwegian Kristin Harila, the fastest in the world to climb all 14 8,000ers (in 92 days), is attempting the Nuptse, Lhotse, and Everest three-peak climb without supplemental oxygen. American Tyler Andrews and Ecuadorian Karl Egloff are continuing their race to break records in Everest. While Andrews is attempting the Fastest Known Time from Base Camp to the top without oxygen, Egloff is taking it a step further and going for a round trip: from Base Camp to the summit and back in record time.&nbsp; Both Egloff and Andrews had attempted these climbs in 2025 spring, but abandoned around 7,000m due to bad weather.&nbsp; Kami Rita Sherpa wants to extend his all-time record of total Everest summits to 32, while Kenton Cool from England is chasing 20, a non-Nepali record.&nbsp; The first summits of the season will be in late April, or early May depending on weather. Besides Everest, there are a lot of interesting climbs on lesser known peaks.&nbsp; The Japanese trio of Masayuki Takenaka, Tatsuro Sugimoto, and Ryota Nomura, for example, are attempting the unclimbed Jarkya Himal (6,473m) near Manaslu. &nbsp;&nbsp; <h2>Fake rescues</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120436_600c0176e24327fd3dfcfd634e4b871f3e5314aa00eb4885ad137ac6f9c4a3b6.jpg" data-media-id="editor_2" data-image-id="20260402120436_600c0176e24327fd3dfcfd634e4b871f3e5314aa00eb4885ad137ac6f9c4a3b6" data-rendition-name="original" width="800" height="519" loading="lazy" alt="Fake rescues"> </figure>  This year’s spring climbing season has coincided with Nepal’s new government taking action against alleged perpetrators in fake rescues and insurance fraud. The Central Investigation Bureau (CIB) has already arrested more than a dozen trekking agency executives, hospital managers and helicopter company executives for medevac insurance fraud. Climbers are known to fabricate medical emergencies, get flown down from as high as Camp II on Everest, and then submit false insurance claims.&nbsp; Sometimes one flight is made to look like many using fake invoices. Trekking companies are also involved in fake rescues of hikers who just get tired of walking.&nbsp; Too many fake claims could lead to insurer’s losing confidence in the industry, and increased premiums, leading to delayed responses in real accidents.&nbsp; As a result of the scandal, there is now more scrutiny from the government about rescues. Already, helicopter operators have to wait for permission before carrying out rescues while their application is vetted.&nbsp; The worry is that this could cause unnecessary delays when time is of the essence in mountain rescue. Already, medevacs are delayed because of the bureaucracy needing permits to fly to sensitive regions bordering China. Last year, a climber died on Himlung because helicopter rescue took too long while operators ran from door to door in Kathmandu to obtain necessary permits. <h2>Mingma David Sherpa, MP</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_05c1600440327f4ae4bcae641b634714951f45702080a88d4e2628587190aa25.jpg" data-media-id="editor_3" data-image-id="20260402120432_05c1600440327f4ae4bcae641b634714951f45702080a88d4e2628587190aa25" data-rendition-name="original" width="960" height="958" loading="lazy" alt="Mingma David Sherpa"> </figure>  Meet Mingma David Sherpa, Nepal’s first mountaineer to be nominated to Parliament. Sherpa is a self-made professional climber from Rolwaling, who rose up from an expedition porter to a record-breaking mountaineer and expedition organiser. As an insider, he is now in a position to streamline laws related to Nepal’s trekking and mountaineering sector. He is co-owner of EliteExped with Nims Purja, and in 2021 the two were part of a team of Nepali climbers to be the first to make it to the top of K2 in winter, the second highest mountain in the world in Pakistan.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_c4ec586e7a27b09a72e61925a3897d843f864563d9e82a3fd3e25293e22cbe54.png" data-media-id="editor_4" data-image-id="20260402120432_c4ec586e7a27b09a72e61925a3897d843f864563d9e82a3fd3e25293e22cbe54" data-rendition-name="original" width="2082" height="1396" loading="lazy" alt="Mingama David Sherpa"> </figure>  Mingma David was also on Purja’s Project Possible to climb all the 14 eight-thousanders in six months, shattering the previous record of seven years. He was featured in Purja’s documentary 14 Peaks: Nothing is Impossible.&nbsp; At age 30 he became the youngest climber to reach the top of all 14 eight-thousanders for which he was awarded the Piolet d’Or. Mingma David has taken part in dozens of successful rescues of fellow climber, including the highest ever long-line rescue on Dhaulagiri and saving the life of fellow-climber from 8,600m on Everest. <h2>April Fool</h2>  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260402120432_775afff27d4a2889a60730aa25bbc5f8eb8ea343528c8c031a6febbfd74814c4.jpg" data-media-id="editor_5" data-image-id="20260402120432_775afff27d4a2889a60730aa25bbc5f8eb8ea343528c8c031a6febbfd74814c4" data-rendition-name="original" width="1365" height="1820" loading="lazy" alt="Furtenback Adventures"> </figure>  The Austrian expedition outfitting company Furtenbach Adventures spoofed the anticipated crowds on an April First post on social media this week, showing ‘a fully galvanized, weather-resistant steel staircase, complete with a sturdy handrail’ to make the Hillary Step bottleneck on Mt Everest less dangerous.

Nepal Himalaya Spring 2026

The war in West Asia has exposed the fragility of the economic architecture Nepal has built on over two generations. If the conflict continues, growth across developing Asia will slow and prices will rise. For Nepal, this will be felt through higher living costs, weaker economic activity, and growing uncertainty for the millions of families who depend on remittances.&nbsp; Nepal now needs to structurally transform from exporting labour to investing in domestic job creation. &nbsp; The country's current path toward a knowledge economy has a blind spot. A <a href="https://iids.org.np/wp-content/uploads/2025/02/unleashing.pdf" target="_blank">report</a> by the Institute for Integrated Development Studies (IIDS) in Kathmandu shows that IT export companies alone generated 7,228 jobs and income for 66,509 freelancers.&nbsp; We are building digital labour export, not an economy that accumulates institutional knowledge. The Nepali Upwork developer and a migrant construction worker in the Gulf are engaged in the same economic activity, but with different tools. Nepal’s reliance on a <a href="https://data.worldbank.org/indicator/BX.TRF.PWKR.DT.GD.ZS?locations=NP" target="_blank">remittance-driven economy,</a> means the country has failed to create enough <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">quality jobs</a> at home. For millions of young people, leaving the country is not a choice but a necessity to survive and support families back home. <a href="https://www.worldbank.org/en/country/nepal/publication/unlocking-nepal-s-growth-potential" target="_blank">Remittances</a> have no doubt helped reduce poverty. Thirty years ago, 55% of Nepal’s population lived on less than $2.15 a day, now it is 20% after the absolute poverty line was revised upwards. This progress has come at a cost — &nbsp;an economy that depends more on exporting workers than creating opportunities at home. This development reflects a deeper political failure to create meaningful jobs within the country. Since the democratic transition in 1991, Nepal’s leadership has largely recycled the same faces, with limited progress on job creation or industrial growth.&nbsp; Nepal cannot build a <a href="https://nipore.org/accelerating-nepals-startups/" target="_blank">knowledge economy</a> while its most ambitious people are outbound to Doha and Tokyo. We are also not just losing ‘labour’. We are losing the entrepreneurial risk tolerance of our youth.&nbsp; If the most ambitious 25-year-olds are abroad, who is left to support innovation and entrepreneurship? The same people who are working tirelessly abroad, are our biggest asset for development. Their work ethic and the know-how inurban renewal could well fit into the new RSP government’s mandate of 7% annual growth.&nbsp; The <a href="https://english.biznessnews.com/posts/-nepal%E2%80%99s-it-exports-cross-1-billion-" target="_blank">$1B milestone</a> of IT exports is a celebratory moment for Nepal. However, that cannot lead to a pathway to a $100 billion economy without innovation ecosystems that go beyond individual labour export. Companies like SecurityPal and industry associations such as NASIT have made significant efforts in building such an environment, recently championed by private sector leaders as a &nbsp;<a href="https://www.securitypalhq.com/blog/silicon-peaks" target="_blank">Silicon Peaks</a> model that emphasises a home growth tech cluster. The need to accelerate this transition is even more urgent with the escalating conflict in West Asia. &nbsp;The recent International Labour Organisation (ILO) <a href="https://www.ilo.org/sites/default/files/2026-03/Nepal%20LDC%20Graduation%20Employment%20Impacts%20Report.pdf" target="_blank">report</a> shows that LDC graduation is expected to adversely impact manufacturing with losses of $1 billion by 2030.&nbsp; If manufacturing takes such a large hit from losing trade preferences, then Nepal’s services and IT sectors need to structurally transform and shift from exporting individual talent to building firms. &nbsp; A generation’s frustration has finally forced a shift in Nepal’s political structure, handing the new government a clear mandate to fix failures. But the question still persists: what prevents Nepal from achieving sustained, productivity-driven growth? &nbsp;&nbsp; RSP is in the right place at the right time to put Nepal's economy on a firm footing. At the heart of Nepal’s economic underperformance lies a major development binding constraint: low returns to investment on projects.&nbsp; The government invests like a high-growth economy, with gross capital formation at around <a href="https://data.worldbank.org/indicator/NE.GDI.FTOT.ZS?locations=NP" target="_blank">25–30 percent of GDP</a>. Yet economic growth remains modest. The problem is not how much the country invests, but how little it gets in return. One way to see this is by looking at how much investment is required to generate growth.&nbsp; Nepal needs large amounts of capital to produce relatively small gains in output (graph, below). For instance, in 2024, the ICOR was 8.29, this suggests that Nepal had to invest more than 8 units of capital to produce a one unit of additional economic output.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811.jpg" data-media-id="editor_9" data-image-id="20260406040412_605dc527641d2ff2dc5723ed8bbec946898331d5538a55b9941e32a0725bf811" data-rendition-name="original" width="1827" height="925" loading="lazy" alt="Economy graph"> <figcaption>Source: Author's calculation based on a Growth Diagnostic simulation</figcaption> </figure>  This reflects a deeper issue in how investment is allocated and executed. Capital is often locked in low-productivity sectors or diluted by delays, inefficiencies, and policy uncertainty.&nbsp; As a result, even high levels of investment fail to translate into sustained growth. Until investment shifts toward productive, firm-building activities, higher spending alone will not deliver results. &nbsp; To reverse this, the government must focus on raising the returns to investment by enabling firms to grow and compete. This requires a shift from managing scarcity to creating an environment where capital can generate consistent and predictable returns. A central priority should be given to attracting and retaining both domestic and foreign private investment. Investors do not just respond to direct incentives, but also to policy stability in the country. Nepal’s economy cannot sustain high growth if its human capital continues to leave the country.&nbsp; The goal should not simply be to create jobs, but to build companies that scale, innovate, and compete beyond Nepal. This requires supporting sectors with strong productivity potential and ensuring that firms can expand without being constrained by infrastructure gaps or regulatory friction. Finally, the state must improve the quality of its own investment. Public spending should focus on lowering the cost of doing business through reliable electricity, efficient logistics, and digital infrastructure.&nbsp; The GenZ movement took two days to bring change. The economic transformation of Nepal might take a generation. The RSP can accelerate this transition, but only if it focuses on building a better investment climate for business and not just feeding the global labour pool. Kailash Raj Pandey is an MPA/ID and MBA candidate at Harvard Kennedy School and MIT Sloan School of Management and a fellow at MIT Kuo Sharper Center for Innovation and Prosperity.&nbsp; Siddhartha Raymajhí is a policy researcher based in Kathmandu.

Creating a firm future for Nepal

Barely a month after the March election, newly elected lawmakers convened for the first session of Parliament on Thursday (picured above).
But the RSP had already hit the ground running in its first week in office. Prime Minister Balendra Shah and his trusted Home Minister Sudan Gurung conducted a slew of high profile arrests. &nbsp;
The former prime minister, home minister and Kathmandu CDO, among others, were detained in connection with the 8 September massacre outside Parliament.&nbsp;
The Cabinet unveiled its 100-point roadmap outlining sweeping institutional, economic and social reforms to ensure better service delivery, and setting deadlines for itself for the first 100 days in office.&nbsp;
Key priorities include strengthening digital governance, removing redundancy across the civil service, investigating assets of high-ranking political and government figures, depoliticising the bureaucracy and universities, as well as broader legal and constitutional reforms.
“The move to hold former leaders accountable sends a powerful signal that impunity is no longer politically untouchable,” says Pukar Malla of Governance Lab at Daayitwa Abhiyan. “On the reform agenda, the direction is right but the timeline is too compressed, 100 days is not enough to transform the system. It is only enough to establish the discipline of transformation.”
The RSP’s decisions have mostly been greeted with enthusiasm by the electorate which gave the party an almost two-thirds majority in Parliament. Nepalis are for the first time in decades genuinely hopeful about the country’s leadership.
“The enthusiasm is real because the pain is real. &nbsp;But people are not just asking for symptoms to be treated. They want the patterns underneath the symptoms to change,” says Malla. "That is where the leadership journey becomes much harder, because structural change is slower, more conflictual, and far less theatrical than headline decisions.”
The RSP’s prompt proactiveness signals a can-do approach designed to placate voters impatient to see immediate change, and also to warn influential figures of the past three decades that anyone can be dragged to jail or put on the immigration no-fly list. The message is also to the bureaucracy to pull its weight, and clean up its act.&nbsp;
But in public discourse, there is also a sense that anyone critical of the government’s decisions can be targeted and trolled. Enthusiasm about the new government &nbsp;seems to outweigh critical and nuanced reasoning about whether ‘Balen Sarkar’ can achieve targets it has given itself within the self-imposed timeframe.&nbsp;
Any concerns about the RSP’s perceived high-handedness or criticism of state overreach tends to be dismissed, branded as noisemaking by mouthpieces of old parties.
Critics say the arrest of Oli, Lekhak others did not follow due process, and displays the very partisanship and vendetta tactics of the legacy parties that the RSP vowed to dismantle.
“The detentions and the plans this government has made for the next 100 days might be necessary, but they seem to be optimised for public spectacle and rather than being deliberative steps for sustained reforms,” says researcher Dovan Rai of Body and Data.
She adds: “K P Oli failed because he put himself above the system, and it seems as though that power has just transferred from one personality to another. What we need is strong institutions, not strongmen that play the role of hero or villain.”
The RSP’s strategy to overhaul the state apparatus is high-stakes, aspirational and at times unquantifiable. The new leaders and the public must recognise that Nepal’s problems cannot be solved in 100 days.
The near two-thirds dominance in Parliament offers the RSP a chance to show results, but it is also an unforgiving majority. Failure is not an option.
Adds Pukar Malla: Political leadership may drive change from above, but civil society and citizen networks have to partner from below.”
The NC and the UML are licking their wounds, and again proved their obsolescence this week by trying to rehabilitate and reinstate old leaders. The UML is on warpath, and missed another opportunity to turn a new leaf by rejecting 36-year-old Suhang Nembang as parliamentary party leader.
People who did not vote for RSP must give the party a chance to deliver on promises. But the party's most effective opposition may have to be its own voters, who must play the check and balance role by insisting on results, and preventing fawning support for populist leaders resulting in authoritarian creep. &nbsp;&nbsp;
“The public now plays a critical role in holding the leadership accountable, it must go beyond small wins,” says Dovan Rai. “Support must not come from opportunism, and criticism must not be based on prejudice.”