<figure><img width="1000" height="1500" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20230228150240/63fe124a9c7e80680e0da515jpeg.jpg" alt=""/><figcaption>Surbir BK has to make a daily one-hour roundtrip to fetch water after springs went dry in his village in Kavre. The dry spell has forced many young villagers to migrate. Photo: KUNDA DIXIT</figcaption></figure>On average, Kathmandu Valley used to get about 95mm of rain between mid-October and mid-February. This winter, there has been zero precipitation.The last rainfall in Kathmandu was a late-monsoon shower on 12 October 2022. And while there was some rain and snow in Karnali and Sudurpaschim Provinces last month, the rest of the country has remained high and dry for nearly five months.This prolonged winter drought has affected farmers in a country where 65% of agricultural land is rainfed. The wildfire season has started early. Rivers are running low, reducing hydroelectricity production by more than half.The Meteorological Forecasting Division predicts that the dry spell will continue for at least two more weeks. In that case, this winter will be the driest in decades. Previous driest winters were in 2007-8 and 2016-17, but even then there was 10-15mm of rain between December and February.Nepal’s Department of Hydrology and Meteorology had used computer modelling to predict this winter’s drought due to the Pacific Lala Nina effect, and a Polar Vortex pushing the jetstream north of the Himalaya.“We don’t like to say we told you so, but the forecasts have been accurate,” says Binod Pokhrel, meteorologist at Tribhuvan University. “The westerlies that were supposed to bring winter rain in January vanished along the way. The seasonal forecast also shows that there won't be much precipitation in the March either, this increase wildfire risk." <figure><img width="1121" height="640" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20230228150240/63fe124e9c7e80680e0da516jpeg.jpg" alt=""><figcaption> </figcaption></figure>Nepal gets more than 80% of its rain during the monsoon between June-September with a generally east-west rainfall gradient, except for the region around Pokhara which receives the country’s heaviest annual rainfall of nearly 4,000mm.The drought has also worsened winter air pollution in Kathmandu. There is no rain to wash down suspended dust particles. Smoke from wildfires have  worsened the Valley’s Air Quality Index.“Winter wheat, mustard, dal, barley and vegetable crops are affected,” says Januka Pandit at the Department of Agriculture. “The lack of snowfall this year will also affect the apple and corn crops at higher elevations because of the proliferation of pests.”Springs have gone dry right across the Himalayan foothills. Villagers have to trudge longer distances to fetch water for drinking and household use. In one village in Kavre, vegetable farmers have migrated to the city or abroad because of the lack of water.“They would still be here if there was enough water for the cabbage and mustard terraces,” said Surbir BK, who was making a one hour roundtrip trek to a community spring with a water jar strapped to his back.   <img width="633" height="357" src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20230228150240/63fe12519c7e80680e0da517jpeg.jpg" alt="">Hydroelectricity production has fallen by 72% compared to last year because of reduced flow on rivers. Suresh Bhattarai of the Nepal Electricity Authority (NEA) explains: “Most of our electricity comes from run-of-the-river plants without storage reservoirs, when the flow drops so does the power they generate.”Nepal’s total installed capacity is now 2,300MW, but currently plants are only generating 700MW when total demand is 1,700MW. NEA is managing the shortfall with 500MW of imports. Even that is not enough and NEA is rationing power to industries.There is usually more water on Himalayan rivers during the spring thaw, but since there was no snow the flow is low. NEA expects the situation to improve only when the monsoon rains arrive in June.Average temperature across the country this winter has also been higher than normal. Lack of rain and higher temperatures increases the danger of wildfires, which in turn worsens air quality.Says Binod Pokhrel: “The fire risk this year is much higher. We are already seeing wildfires that used to start in April-May.” Read also: <a href="https://www.nepalitimes.com/banner/why-is-the-air-in-bhaktapur-so-bad/">Why is the air in Bhaktapur so bad?</a>, Sushila Budathoki

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High and dry

October is buckwheat harvest time in the <a href="https://www.nepalitimes.com/banner/dazzling-dolpo/">distant highlands of Dolpo</a>. In the village of Tso, Namdak Sangmo watches other women from her village fling their sickles, stoop over to sling the sheaves on their shoulders, and bring the crop in. Sangmo, 68, does not have her own crop to harvest because she does not have any land anymore. Her riverside terraces were washed away by a flash flood in 2012, and another one in 2019 destroyed what was left, leaving a barren boulder-strewn slope. “It was a raging torrent, and it came down suddenly and swept everything in its path, I do not have any land left to farm,” says Sangmo. She is not the only one, almost half the villagers in Tso lost their standing crop and fields when a wall of mud and boulders raced down from the slopes of the 6,883m high Mt Kanjiroba that towers over the district. Scientists have not drawn a direct correlation between the climate crisis and extreme weather events like this, but they say there is evidence that droughts, record downpours, and erratic monsoons in the Himalaya are a result of a hotter atmosphere. This year’s monsoon has seen freak downpours and unprecedented rainfall in the trans-Himalayan regions of Nepal. Unseasonal rains this week unleashed deadly floods and landslides, especially in western Nepal. The Himalayan mountains are warming between 0.3-0.7°C faster than the global average, causing glaciers to shrink, snowlines to recede, and increasing the danger of floods when expanding glacial lakes burst. <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18e39c7e80680e0ac7edjpeg.jpg" alt="" width="1500" height="1000"></div> Sangmo remembers well that September day two years ago. “It had rained non-stop for two days, and suddenly we heard a big roar from up the mountain, my brother-in-law told us to run,” she recalls. There was unusually heavy rain where snow used to fall, and the fragile moraine ridges below Kanjiroba just dissolved, sending the debris flow racing down to the village below. A similar flood in June on the Melamchi River damaged Kathmandu’s water-supply project, Nepal’s most expensive infrastructure scheme. In Manang, a trans-Himalayan valley north of the Annapurnas, there was record-breaking rainfall that unleashed deadly floods. “There is more and more evidence that extreme rainfall events are caused by climate change, and these trigger sudden floods that destroy farms and settlements downstream,” says Arun Shrestha, a climate specialist with the River Basins and Cryosphere division at the Kathmandu-based International Centre for Integrated Mountain Development (ICIMOD). There has not been enough study to determine if the Dolpo flood was <a href="https://www.dhm.gov.np/uploads/climatic/467608975Observed%20Climate%20Trend%20Analysis%20Report_2017_Final.pdf">caused by a glacial lake outburst flood (GLOF)</a>, or just extra-heavy rainfall on sediment deposits in high mountain valleys, but the result was just as devastating. <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18da9c7e80680e0ac7eajpeg.jpg" alt="" width="1500" height="1000">The tongue of the glacier below Kanjiroba from which the floods came down.</div> A recent Himalayan <a href="https://www.nepalitimes.com/here-now/nepals-glacial-lakes-in-danger-of-bursting/">Glacial Lake Inventory</a> by <a href="https://www.icimod.org/event/glacial-lake-inventory-launch/">ICIMOD </a>and UNDP mapped 3,624 new glacial lakes on Nepal’s main river basins and found that 47 of them could <a href="https://www.nepalitimes.com/editorial/more-himalayan-tsunamis/">burst at any time</a>, with the risk of catastrophic flooding down valley. Of these, <a href="https://www.nepalitimes.com/here-now/nepals-glacial-lakes-in-danger-of-bursting/">25 lakes are in Tibet,</a> but flow into tributaries of Nepal’s main rivers. While communities in Nepal have historically learnt to reduce risk from these floods by not settling along riverbanks, new poorly-designed roads, settlements and infrastructure are vulnerable to these climate induced disasters. While GLOFs can happen at some point in the future, weather extremes caused by the climate crisis have already unleashed a creeping disaster in Himalayan villages like Tso. This year, a 7-month <a href="https://www.nepalitimes.com/banner/no-smoke-without-fire-2/">winter drought led to wildfires</a> and floods in Dolpo, displacing farmers, and forcing them to migrate. As <a href="http://archive.nepalitimes.com/article/Nepali-Times-Buzz/Shey-Phoksundo-may-soon-become-a-bus-park,3975">Dolpo is connected by road</a>, most men have left rural areas for work in the cities or abroad to supplement their income, and it is the women who stay behind who bear the brunt of the impact of climate change -- the drudgery of having to walk farther for water, or suffer from failed harvests. <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18dd9c7e80680e0ac7ebjpeg.jpg" alt="" width="1500" height="1000">Massive flashfloods in 2012 and 2019 that came down from Mt Kanjiroba washed away fields and homes in Tso village.</div> “Climate change adds to the extra load of women in rural areas because of unpredictable rain, floods droughts and springs going dry,” says <a href=".%20https:/www.icimod.org/team/abid-hussain/">Abid Hussain</a>, of the Mountain Agriculture and Livelihood division of ICIMOD. Most of Nepal’s subsistence farmers are dependent on rain-fed agriculture, and <a href="https://www.thestatesman.com/world/women-participation-in-agriculture-is-highest-in-nepal-1502659946.html">83% of the country's women are fulltime farmers</a>. Namdak Sasngmo’s husband died 15 years ago, and her children are married. Without her fields, she finds it difficult to take care of her family. Nepal’s central or local governments should be helping her, but there has been no compensation for the loss and damage. Without her fields, with <a href="https://www.nepalitimes.com/banner/trekking-to-save-nepals-snow-leopards/">no income from trekking tourism</a> due to the pandemic, and a decline in the yarsagumba crop, Sangmo is worried. Left to fend for themselves, she has fallen back on her faith in the Tibetan animist belief system that has deep reverence for the mountains as divine creations that have their serene and destructive sides that need to be appeased through prayer and good deeds. “We may have angered the gods of Kanjiroba with our deeds,” says Sangmo.“We made the river impure and many outsiders came and polluted the lake.” <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18e09c7e80680e0ac7ecjpeg.jpg" alt="" width="1500" height="1000">Namdak Sangmo, 50, harvests buckwheat in a neighbour’s field because her farm was washed away by the flood.</div> To prevent future calamities, the monk at the local monastery, Khenpo Lama, performed a ritual to appeal to Mt Kanjiroba with a shebchu at a small stupa with offerings of buckwheat and barley. Sangmo believes it worked, because “everything has been quiet on the mountain after that”. From his monastery, Khenpo Nyima himself has noticed the change in weather, and the snow retreating higher and higher up Kanjiroba. Although he does not connect this to the global climate crisis, he is convinced outsiders are to blame. “We have seen the mountains changing, and that is because there are more and more outsiders coming here and they are desecrating nature,” he says, looking up at the icy tongue of a glacier below Kanjiroba, the top of which is veiled in monsoon clouds. He says the modern world has also changed the traditional ways in Dolpo. Local people no longer rely on dorima that determines the schedule for planting, harvesting, and the timings for taking yaks and goats up to high pasture. “They also do not put up prayer flags in the yulsa every year, and this has displeased the gods,” Khenpo Nyima adds. <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18e39c7e80680e0ac7edjpeg.jpg" alt="" width="1500" height="1000"></div> However, the local government and the <a href="http://archive.nepalitimes.com/article/Nepali-Times-Buzz/saving-shey-phoksundo-in-nepal,3596">Shey Phoksundo National Park</a> are not relying on prayers to protect citizens here. They built an embankment along the river after the 2012 flood to shield Tso’s village and farms, but it was washed away in the second flood in 2019. “We may need a bigger budget to build a proper wall that will save the village the next time there is a big flood, I am trying to convince the municipality authorities, but we need more help,” says Nima Lama, the ward chair. However, studies have shown that people in mountain regions across the world have been adapting to the changing climate without knowing why it is changing, and using local belief systems and traditions to do so. <a href="https://phys.org/news/2019-06-mountain-dwellers-glaciers-climate.html">Anthropologist Ben Orlove of Columbia University’s Earth Institute</a> interviewed people in locales including the Peruvian Andes, and found that while villagers were aware of the changes, they were adapting to them without necessarily linking it to climate change. Orlove proposes framing the ‘climate change’ narrative as a need for ‘community change’ so the focus is on how villagers can benefit from the measures they take to adapt to lack of rain, water shortages, or flood-prevention embankments. That appears to be already happening here in Dolpo, an arid trans-Himalayan region of Nepal where people are falling back on a sense of community and traditional belief systems to cope with the impacts of the climate crisis. <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18e69c7e80680e0ac7eejpeg.jpg" alt="" width="1500" height="1000">Yarsagumba is a fungus that grows on a caterpillar, and is harvested in spring in the Himalaya. It is in high demand across the border in China.</div> The climate and ‘Himalayan viagra’ As the climate crisis impacts on the pastoral lifestyle of the people of Dolpo, the women who remain in the remote villages have started relying more and more on <a href="https://www.nepalitimes.com/banner/its-yarsa-picking-time/">yarsagumba, the caterpillar fungus</a> that is prized in Chinese medicine for its supposed aphrodisiac properties. These days, it is mainly women who climb up to the high slopes where the fungus pokes out of the ground after snow melts in spring. They harvest the yarsagumba and sell it to middlemen who in turn sell it to wholesalers at the <a href="https://www.nepalitimes.com/banner/new-high-way-to-dolpo/">Chinese border, 4 days walk to the north.</a> However, a combination of <a href="https://www.nepalitimes.com/latest/heavy-snowfall-over-nepal-himalaya/">unseasonal snowfall</a>, long periods of drought and warmer weather is affecting the yarsagumba, too. Schools in Dolpo close at yarsa harvest time so students can accompany parents to the pick the fungus, but this year they have returned empty-handed. “We went up in April, but the yarsa was not fully mature and it was soggy, there was nothing to pick,” says one student, Sangmo Lama. <div class="embed-block"><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110161128/636d18e99c7e80680e0ac7efjpeg.jpg" alt="" width="1500" height="1000">With her trekking income gone, and farm washed away by floods, Namdak Sangmo used to depend on yarsagumba picking. But even the growth of the fungus has been affected by weather extremes caused by climate change.</div> While over-harvesting in the past has been one of the reasons for the decline in the yarsa crop, it should have revived in the past two years when the pandemic reduced the numbers of pickers. That lends support to the theory that a warmer Himalaya is also affecting growth of the valuable fungus and contributes to the end of the yarsa <a href="http://archive.nepalitimes.com/article/nation/yarsagumba-dispute-dolpa,1424">gold rush</a>. Local people who relied on tourism and livestock for income had <a href="http://archive.nepalitimes.com/news.php?id=18321#.XnOPvS2B3-Y">earnings from the fungus</a> as a fall back. Now, that option is also gone. Yarsa made up more than half of the annual income of an average Dolpo household. While the fungus is sold for only Rs5,000 per kg to the Chinese traders at the border, it can fetch as much as $75,000 per kg in Shanghai. After she lost her fields to the glacial floods, Namdak Sangmo of Tso village used to rely solely on yarsa income. She used to collect at least 100 pieces of fungus in the past, two years ago she found only six pieces, and this spring none at all. “Without yarsa what do we eat? How do we survive? The mountain was angry and took away my fields, there is nothing to do but pray,” says Sangmo, as she sharpens her sickle to help the other women in their buckwheat fields. This report was supported by the Road to COP26 campaign implemented by the British Council and funded by UKAID.

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Climate change is a disaster in the Nepal Himalaya

<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110111124/636cd20e9c7e80680e08f8edjpeg.jpg" alt="" width="1800" height="1200"/><figcaption>The fire in Manang started on 26 November and is still raging as seen in these pictures taken on Tuesday. Photos: NABIN LAMICHHANE/RSS</figcaption></figure>A three month drought in central and eastern Nepal has sparked <a href="https://www.nepalitimes.com/latest/nepal-sees-drop-in-wildfires-during-lockdown/" target="_blank" rel="noopener noreferrer">wildfires</a> across the Himalaya which has shrouded the mountains in smoke, adding to the urban and crossborder pollution.The big forest fires <a href="https://www.nepalitimes.com/banner/kangchenjunga-wildfire-visible-from-space/" target="_blank" rel="noopener noreferrer">in Pathibhara in eastern Nepal</a> and below Mt Machapuchre in Kaski raged for a week, and spent themselves. But major fires are out of control in Manang, Rasuwa, Lamjung and Sindhupalchok, destroying huge tracts of high montane forest.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110111124/636cd2119c7e80680e08f8eejpeg.jpg" alt="" width="960" height="720"><figcaption>An entire forest in Gatlang of Rasuwa was reduced to ashes in a wildfire on Monday-Tuesday. The fire only extinguished itself after there was no more forest left to burn. Photo: BIBI FUNYAL</figcaption></figure>The most serious and widespread are the fires in Manang Valley around Chame. The vegetation on the slopes and undergrowth in the forests are tinder dry, and the authorities say they have caught fire accidentally because of people grazing livestock, or gathering firewood.The fire in Manang started as far back as 26 November, and has since spread into the Marsyangdi and Dudh Khola valleys.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110111124/636cd2139c7e80680e08f8efjpeg.jpg" alt="" width="1800" height="1200"><figcaption>Under-equipped Nepal Police and Army officials have been largely unsuccessful in controlling the fire, which is whipped up by high winds.</figcaption></figure>Efforts by local volunteers, Nepal Police, Nepal Army and Nepal Armed Police have been largely unsuccessful in controlling the fire whipped up by high winds because of lack of equipment, and because the blaze is fanned by strong up-valley afternoon winds.Forest fire in Manang has been raging for over a month, after an unusually dry and warm winter.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110111124/636cd2169c7e80680e08f8f0jpeg.jpg" alt="" width="1800" height="1200"><figcaption>Part of the rapidly spreading forest wildfire near Chame on Tuesday. In the past months it has destroyed over 700 hectares of forests rich in endangered wildlife and Hiamalayan plant species.</figcaption></figure>The fire has destroyed over 700 hectares of forest rich in endangered wildlife and Himalayan plant species.The effect of the fires is visible even in satellite images. This NASA image (pictured below) taken at noon on 12 January shows <a href="https://www.nepalitimes.com/latest/kathmandu-air-pollution-hits-record-high/" target="_blank" rel="noopener noreferrer">smoke shrouding</a> the river valleys of the Marsyangdi, Budi Gandaki, Bhote Kosi, Sun Kosi and the Arun.<figure><img src="https://superdesk-pro-c.s3.amazonaws.com/sd-nepalitimes/20221110111124/636cd2199c7e80680e08f8f1jpeg.jpg" alt="" width="1500" height="824"><figcaption></figcaption></figure>The above image is a composite based on <a href="https://worldview.earthdata.nasa.gov/?v=73.05432164103755,20.9895954810804,96.86111430117901,34.3528423044617&amp;l=Reference_Labels(hidden),Reference_Features(hidden),Coastlines,VIIRS_SNPP_CorrectedReflectance_TrueColor(hidden),MODIS_Aqua_CorrectedRe" data-saferedirecturl="https://www.google.com/url?q=https://worldview.earthdata.nasa.gov/?v%3D73.05432164103755,20.9895954810804,96.86111430117901,34.3528423044617%26l%3DReference_Labels(hidden),Reference_Features(hidden),Coastlines,VIIRS_SNPP_CorrectedReflectance_TrueColor(hidden),MODIS_Aqua_CorrectedRe&amp;source=gmail&amp;ust=1610539171776000&amp;usg=AFQjCNHyjBHjdeFLoVx52Le4KkM9CE8xXw">NASA Worldwide</a> image and the <a href="https://firms.modaps.eosdis.nasa.gov/map/#d:2021-01-11..2021-01-12;l:noaa20-viirs,countries,protected_areas,protected_areas_regional;@132.8,15.7,3z" data-saferedirecturl="https://www.google.com/url?q=https://firms.modaps.eosdis.nasa.gov/map/%23d:2021-01-11..2021-01-12;l:noaa20-viirs,countries,protected_areas,protected_areas_regional;@132.8,15.7,3z&amp;source=gmail&amp;ust=1610539171776000&amp;usg=AFQjCNGx9Lq-WrX2bhCV-0g0j3oTHn-5mw">Fire Information Resource Management System (FIRMS) both from 12 January.</a>The smoke is also blowing into Kathmandu Valley and it combined with the city’s own pollution and cross border smog on Tuesday afternoon to send <a href="https://www.nepalitimes.com/banner/dirty-politics-dirty-air/" target="_blank" rel="noopener noreferrer">the Air Quality Index soaring</a> to above 200 in the ‘Very Unhealthy’ zone.The satellite images also show ground fog covering the Tarai and Chitwan on Tuesday morning.

Wildfires ravage Nepal mountains

It was 30 years ago this month that investment into ‘Baby Arun’, the 201MW first phase of the run-of-river Arun III project, was brought to a screeching halt when the World Bank officially withdrew its support. This brought about profound and fundamental changes in the way Nepal’s power sector subsequently developed. Nepalis suffered debilitating power outages between 2008-2016 due to shortages attributable to the cancellation. At the same time, the gap left by Baby Arun was filled by private sector investment in ways that were not obvious in 1995. It took 30 years, but in many ways Nepal’s power sector is more healthy today than it has ever been, and likely better than if the project was built as planned. At a projected budget of $1.08 billion, Baby Arun would have cost the equivalent of Nepal’s entire annual government expenditure in 1995. It was to be funded by concessional grants and loans from multilateral and bilateral funders, including the World Bank, Asian Development Bank (ADB), KfW, and investment by the government itself. At the time, Nepal’s total electricity generation capacity was only 230MW, and the trajectory of the power sector changed dramatically following the cancellation. In the past 30 years, $5.4 billion has been invested in the power sector led by private investors, and much of it from domestic banks and pension funds (table, right).  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250829150840_c13d6f9f34d7163832b3089eabdad6f20d2d5cef3a53039e0432add2be6c32f0.jpg" data-media-id="editor_0" data-image-id="20250829150840_c13d6f9f34d7163832b3089eabdad6f20d2d5cef3a53039e0432add2be6c32f0" data-rendition-name="original" width="984" height="521" loading="lazy" alt="30 years after Baby Arun"> </figure>  Nearly 70% of the new megawatts generated were by private independent power producers (IPP) in the past 30 years, while the Nepal Electricity Authority (NEA) and its subsidiary companies added 30% of new capacity. Almost 80% of total debt financing came from domestic banks and employee retirement funds. International assistance for power generation dropped dramatically over this time, accounting for only about 15% of investment. Before 1995 new power projects used to be entirely dependent on foreign aid. Since 1995, 63% of new generation came from 171 small hydropower projects with an average capacity of 12MW, while 4% was from 21 solar photovoltaic and biomass projects developed by local IPPs.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250829150844_5bc299fc78be90b95ce4727b0b3bdaa4542e17e126718cc8725d136630ffc097.jpg" data-media-id="editor_1" data-image-id="20250829150844_5bc299fc78be90b95ce4727b0b3bdaa4542e17e126718cc8725d136630ffc097" data-rendition-name="original" width="988" height="503" loading="lazy" alt="30 years after Baby Arun"> </figure>  Over three decades, investment in Nepal’s power supply came primarily from new actors that had never before been involved in this sector. The rate of electrification rose from 10% to close to 100% -- sufficient to meet domestic needs during most of the year, and in 2024 made Nepal a net exporter of power to India for the first time in its history. As practically all the new investment in this period went into run-of-river hydro and solar projects, rather than into hydropower reservoirs with seasonal storage, Nepal continues to rely on imports from India during the dry winter months. Surplus electricity generation for export during the monsoon is slated to grow rapidly as another 200 solar and hydro projects are nearing completion of construction, with over 5,000MW of power capacity. Private Power The cancellation of Baby Arun inadvertently accelerated the entry of the private sector into Nepal’s power generation. The government enacted the Electricity Act in 1992 to attract private IPPs and diversify away from total dependence from international aid, but had been struggling for several years to conclude the first agreement with the 60MW Khimti Project. There remained a large gap between the tariff that the government thought was reasonable versus what was demanded by the Norwegian investor Statkraft, and the private sector arms of the World Bank and ADB that were financing the project. The shock of World Bank withdrawal from Baby Arun put tremendous pressure on the government, then led by the UML as it is now. The Bank’s decision to terminate its involvement was ostensibly, at least partially, taken in response to a letter critiquing the project sent by the UML while it was in the opposition.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250829150848_7fb3641d776fe86a09ad60a758f7e16660a409fdb15e541644f13646b0894347.jpg" data-media-id="editor_2" data-image-id="20250829150848_7fb3641d776fe86a09ad60a758f7e16660a409fdb15e541644f13646b0894347" data-rendition-name="original" width="949" height="446" loading="lazy" alt="30 years after Baby Arun"> <figcaption>BAD NEWS: Newspaper clippings from the early 90s on tender announcement ahead of loan approval (left) and secrecy surrounding environmental assessment (centre) of Arun III before its eventual cancellation in August 1995.</figcaption> </figure>  The government was forced to soften its position and agree to the investors’ terms following the cancellation of Baby Arun. It directed NEA to sign a power purchase agreement (PPA) with Khimti. It was concluded in January 1996, and this was followed by a second PPA in July 1996 with Panda Energy, the American developer of the 45MW Upper Bhotekosi project. The expensive USD-denominated agreements to buy power from two international private producers, with price escalation clauses tied to the New York Consumer Price Index, sent alarm bells ringing. There was worry that the country was heading towards unaffordable tariff rates for the consumer and potential bankruptcy for NEA as a result of inevitable future weakening of the Nepali Rupee. The government had strong-armed NEA into signing these agreements, and realised that concessionary financing terms that Nepal was used to receiving for public sector projects such as Baby Arun and Kali Gandaki A, that included below-market interest rates and 40 years repayment period with a 10 year grace period before starting repayment, were not the norm for private sector investors. Nepal’s status as a less than attractive destination for foreign investment meant that the country had few options but to accept expensive dollar PPAs from international developers with the high commercial interest rates and short repayment periods imposed by their banks because of high investment risks. In the end, the government ended up having to additionally provide a sovereign guarantee in order to close the deal at the insistence of the lenders – committing it to repayment in case NEA defaulted on paying the IPPs. It is reasonable to assume that the extraordinarily high political cost of agreeing to the PPA terms would have meant that no government would have willingly agreed to them in 1995 had it not suffered the trauma of the loss of concessionary-financed public sector projects as large as the Baby Arun. It has taken NEA 25 years to consider offering dollar-denominated PPAs again: to cover the foreign exchange portion of the investment in the 216MW Upper Trisuli-1 and 120MW Rasuwa-Bhotekosi Hydropower projects. It seemed unlikely at the time, but it turned out that the dire situation Nepal found itself in 1995 planted the seed to mobilise investment for affordable power from within the country. Double Whammy After the dual shock of first losing investment in Baby Arun and having to sign expensive power purchase agreements with international IPPs, the first proposal for an alternative strategy to mitigate the risk of foreign currency investment into hydropower projects came from a group of engineers within the Arun III team at NEA. Led by <a href="https://archive.nepalitimes.com/news.php?id=4900">Deputy Director Damber Bahadur Nepali,</a> engineers convinced the leadership that NEA needed to invest in a subsidiary company to build a series of locally-designed and domestically-financed projects that would have lower cost with rupee-denominated PPAs. They registered the Chilime Hydropower Company Limited (CHCL) in October 1995 with 51% shares from NEA, 25% from its employees, and 24% available for the general public, 10% of which was prioritised for local residents at the project site. The 22.1MW project is in Rasuwa on a tributary of the Trisuli, and mobilised debt financing from the Employee Provident Fund, which manages retirement savings for employees of the government, public enterprises, and private sector institutions. CHCL’s experience showed that NEA employees themselves believed that individual hydropower projects with operational independence from NEA could be developed profitably in Nepal by its own engineers -- and they were willing to put their own money on the line. Chilime also demonstrated that there was money in the country, particularly with retirement funds, looking for opportunities for long-term investments. Following completion of Chilime in 2003, CHCL led the formation of three other NEA subsidiary companies that completed construction in 2023 and 2024, producing 168.3MW using fully rupee-tied investment. NEA’s largest subsidiary, the Upper Tamakosi Hydropower Limited, completed construction of its 456MW plant in 2021.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250829160812_ce9ab8b49c598970db3f5bf0a079061ef52f153b28d9f4ead2bb1b26bfd7c2f3.jpg" data-media-id="editor_4" data-image-id="20250829160812_ce9ab8b49c598970db3f5bf0a079061ef52f153b28d9f4ead2bb1b26bfd7c2f3" data-rendition-name="original" width="3000" height="1571" loading="lazy" alt="30 Years after Baby Arun"> <figcaption>DAMNED: The $700 million 456MW Upper Tamakosi built entirely with domestic funds before it was destroyed by the September floods last year. </figcaption> </figure>  There were some delays and cost overruns on this run-of-river project, the largest in the country with a final cost of over $700 million -- all of it sourced domestically. The five subsidiary companies launched by NEA have produced almost two times as much new power as NEA has over the past 30 years. Seven other NEA subsidiaries are currently constructing projects to add another 474MW to the national grid. But even more important than NEA subsidiaries have been local IPPs: Nepali companies which have over the past three decades enthusiastically entered the hydropower sector. From a regulatory perspective, the credit for mobilising domestic private investment to engage in power generation goes to Minister of Water Resources Shailaja Acharya, who in 1998 offered a flat feed-in-tariff of Rs4/kWh for hydropower projects under 10MW. This upfront offer removed a major barrier that early developers had faced of having to spend money to carry out a detailed feasibility study before they could even start tariff negotiations with NEA. She had laid the foundation stone of the Chilime project, and proved to be the champion of opening up the sector for domestic IPPs. The guarantee of a PPA with a fixed tariff, irrespective of project specifications, gave small power developers the confidence to apply for survey licenses and invest in feasibility studies so they could directly approach commercial banks and make a case for their project producing required revenue to repay loans. Domestic IPPs started adding power to the national grid in 2002. Their contribution was initially modest, and first projects were small and commercial lenders who took time to be confident about providing debt financing to a sector which had previously not been considered suitable for private sector investment. While the first 10 years were slow, with less than 10MW being added to the grid each year, this increased twenty fold over the following ten years, resulting in the equivalent of a Baby Arun being added by Nepali IPPs to the grid each year. A total of 84 IPPs added 232MW, 328 MW, 454MW, and 400MW of new generation to the grid in 2021-2024 (graph). There was explosive, exponential growth as domestic developers have surged ahead to account for 76% of the new megawatts added to the grid since 2020, compared to 24% by NEA and its subsidiary companies. The megawatts that IPPs are adding have followed the classic ‘hockey stick curve’ with the ‘breakout point’, signaling the rapid growth phase in 2020. Private producers are expected to accelerate new generation in the coming years with 300 solar and hydropower projects adding 11,000MW. Another 166 hydropower and 96 solar projects are currently in the survey stage, and are in line to add another 11,000MW to the construction pipeline. One major challenge is finding financing required for the projects. Domestic investment will no longer be sufficient to finance this ambitious pipeline of renewable energy projects. Project developers as well as NEA and the Electricity Regulatory Commission will have to leverage their substantial experience accumulated through the construction of over 200 projects to attract regional and international investment and hedge the risks of dollar-denominated PPAs. Following the cancellation of Baby Arun, <a href="https://nepalitimes.com/opinion/people-power/decentralising-power-in-nepal">Nepal developed a highly distributed power sector</a>. The national electricity grid is currently supplied with power from a remarkably decentralised array of hundreds of hydropower and solar photovoltaic projects spread across 43 districts and all seven provinces.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250829150848_0c3aa66b34bfb08380a624f397bf3ebb4126f4d6b41a26115848b496876f501b.jpg" data-media-id="editor_6" data-image-id="20250829150848_0c3aa66b34bfb08380a624f397bf3ebb4126f4d6b41a26115848b496876f501b" data-rendition-name="original" width="1228" height="867" loading="lazy" alt="30 years after Baby Arun"> </figure>  This presents a sharp contrast to the pathway of a few large public sector hydropower projects with a sprinkling of private sector projects that was envisioned as part of NEA’s investment planning when Baby Arun was being considered the front runner for investment. The strategy then was to allow public sector investment in a few large hydropower projects with thermal plants to fill the gap. Knowing what we know now about acceleration of climate change impacts and increased extreme weather events, following this path would have made Nepal’s power sector highly vulnerable. Decentralised generation greatly improves the resilience of Nepal’s power supply as damage to power plants in one part of the country need not affect other areas that have their own generation. Following the investment plan where over two thirds of the country’s power supply would have come from power plants on the Arun River, would have greatly imperiled Nepal’s energy security. All rivers in Nepal are susceptible to flooding from cloudbursts made more frequent by climate change. The Arun River which is fed by glaciers in Tibet is also at risk to glacial lake outburst floods. Bikash Pandey is Director of Clean Energy and Circular Economy at Winrock International. People Power is his regular column in Nepali Times on global energy issues relevant to Nepal. <h2>Decentralised and Diversified</h2> In the 30 years since the cancellation of ‘Baby Arun’: Hydropower projects constructed cover capacities ranging from less than 1MW to 456MW and developed by IPPs from across the country with strong local involvement in purchasing equity shares. Renewable energy sources contributed to the generation mix through solar IPPs that further contribute to climate resilience, and cover shortfalls during low rainfall. The government is committed to solar contributing 10% of the power on the grid. Increasing solar beyond this target and providing incentives to project developers to invest in utility-scale battery storage would further improve resilience. BIG ARUN: The 900MW Arun III project under construction since 2018 at Num in Sankhuwasabha (pictured, below) is a separate initiative by a different project developer using a different financing modality. The ‘Baby Arun’ version of Arun III was cancelled in 1995.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250829150852_df534df5166eb5a9bb4cbe101627bdec7ac1df2a405a9d3988d1c86fcc8ecdeb.jpg" data-media-id="editor_7" data-image-id="20250829150852_df534df5166eb5a9bb4cbe101627bdec7ac1df2a405a9d3988d1c86fcc8ecdeb" data-rendition-name="original" width="1750" height="1312" loading="lazy" alt="30 Years after Baby Arun"> </figure>

30 years after Baby Arun

Nepal has shut down dozens of social media platforms in a move that is widely seen as an effort to tax the revenue they generate in the country, and to control content critical of government. The sites were blocked as of midnight on Thursday, 4 September and affects all Meta products including WhatsApp and Messenger, Threads, and others. Although YouTube, Google and X are also on the government’s list, they were still working as of Friday midday.&nbsp; The government says it took the action after repeated warnings to the platforms to open offices in Nepal, a Cabinet decision last month setting a deadline, as well as a 17 August Supreme Court ruling also requiring them to register and pay requisite taxes. However, the Bill cited in the ban, ‘The Operation, Use, and Regulation of Social Media in Nepal’ has not yet been passed by Parliament. Some social media platforms which were already paying taxes in Nepal even though they are not officially registered, have also been blocked. The move is the latest in <a href="https://nepalitimes.com/news/big-beautiful-bills" target="_blank">a slew of draft legislations</a> designed to undermine Nepal’s open society. A Bill amending the Print and Publications Act would allow district bureaucrats to shut down media. Another draft Bill would allow political appointees to head a new Media Council with the power to revoke the licenses of journalists.&nbsp; A counter-intelligence Bill would let just about anyone in government to arbitrarily tap phones, read emails and trail citizens. On Wednesday the government announced new immigration requirements that would allow it to track the movement of all foreigners in the country. Yet another draft Bill has been set to Parliament to dissolve the <a href="https://archive.nepalitimes.com/news.php?id=10675" target="_blank">Social Welfare Council (SWC)</a> and move registration and monitoring of non-governmental organisations, nonprofits and charities to the Ministry of Social Welfare. Seen in this light, the blockage of social media platforms this week is seen as the latest government attempt to constrict freedom of press. Nepal is one of the few remaining open societies in Asia, and now appears to be drifting towards authoritarianism. The government’s sudden shutdown of social media has been greeted with howls of protest on platforms that still remain open, like Viber and TikTok, as well as in Nepal’s mainstream press. Even senior members of the ruling UML-NC coalition have sharply criticised the move, asking if the government is trying to “turn Nepal into North Korea”.  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/2025090508098_a2ab330e403e8418a7006cd5e915607382628dd6984524332bf7b99c74743656.jpg" data-media-id="editor_2" data-image-id="2025090508098_a2ab330e403e8418a7006cd5e915607382628dd6984524332bf7b99c74743656" data-rendition-name="original" width="4280" height="5187" loading="lazy" alt="social media ban in Nepal"> </figure>  The Regional Director of the New York-based Committee to Protect Journalists (CPJ) Beh Lih Yi said in a statement: ‘Nepal’s sweeping ban on social media sets a dangerous precedent for press freedom. Blocking online news platforms vital to journalists will undermine reporting and the public’s right to information. The government must immediately rescind this order and restore access to social media platforms, which are essential tools for exercising press freedom.’ Besides undermining press freedom, blocking social media platforms will also hurt commerce and the economy since so many small and medium business trade through Instagram, Facebook and other platforms. Nepal’s vibrant social media has also been a boost or citizens to assert identity, build solidarity against injustice and play an adversarial role when the mainstream media does not do it. Social media platforms have also become the tenuous link for Nepali families scattered across the world to keep in touch with each other — its importance growing with the increasing size of the diaspora. The government wants social media platforms to register, pay taxes and remove posts on their sites that ‘undermine the national interest and Nepal’s territorial integrity, disturb social and religious harmony’.&nbsp; In response, rights activists have said while there is need for the government to regulate extreme content and hate speech, officials appear to be more intent on clamping down on free speech and trying to force platforms to share the revenue. On Friday, the government had allowed WhatsApp back online, but there were reports that it had instructed the Nepal Telecommunication Authority (NTA) to instruct mobile and internet service providers to block by Friday night all platforms, including Facebook, Instagram, Messenger, WhatsApp, X (Twitter), YouTube, LinkedIn, Reddit, Threads, Snapchat, Pinterest, Signal, Clubhouse, Rumble.&nbsp; Platforms that have registered and are allowed include TikTok, Viber, Nimbuzz, Popo Live, WeTalk, Global Diary and the Nepali portal Hamro Patro. TikTok was banned last year for ‘disturbing social harmony’ and it was lifted after the platform registered its office in Nepal. But even while it was banned, many users simply switched to VPN. Telegram was also banned for ‘financial crimes’ and it has since also been allowed back. NTA officials confirmed that some Asia-Pacific regional offices of platforms, including Meta had been in touch overnight inquiring about the registration process.&nbsp; Nepal is not alone in regulating social media. China bans most Western platforms, Russia and Turkey regulate their and require platforms to locate their data servers in the country. Gulf countries allow social media but keep a tight control on dissent.&nbsp; Experts have said even the government will not dare close down YouTube since so many Nepali individuals and companies make money with posts on that platform, and closing it would also impact on Google and Gmail. Facebook had also just launched a monetisation scheme for videos and reels, and Nepalis uploading content would lose revenue.&nbsp; Blocking the platforms has already hit content creators, influencers and cut small businesses from reaching customers. A survey of social media use in Nepal by Sharecast Initiative showed that 94% of those with smart phones used YouTube, followed by Facebook (92%) while TikTok was in the 50-60% range. X and Instagram were in the single digits. A YouTube ban will also hurt the mainstream media since up to 20% of the revenue of Nepal’s main tv channels came through YouTube. Some 11.1 million Nepalis watch YouTube content every day, the survey showed. ‘For global giants like Meta or Google, Nepal is a small market, and they may not even flinch — but for millions of Nepalis, these platforms are central to daily life, livelihoods, and connections across the world,’ wrote AI consultant Naresh Newar in a LinkedIn post. Some experts said the government’s sweeping ban on social media networks was untenable and the government would be forced to rollback sooner or later. Said editor Shiva Gaunle: “The platforms had given citizens a voice and broken the monopoly of the government, legislators, the courts and journalists over public opinion. This is an effort to reassert that monopoly, but Nepal can never be turned into a North Korea.”

Protest grows against Nepal’s social media ban

This is the 72nd episode of Diaspora Diaries, a Nepali Times series in collaboration with Migration Lab providing a platform to share experiences of living, working and studying abroad. My father ran a store and that is where I spent all my time till Grade 6. Doing my homework. Serving customers. I then moved to my maternal grandparents’ house because I used to get along with my cousin who was a year older than me. We did everything together, and were best friends. We took turns studying: I was a night owl, and he was an early riser. Before I went to bed after studying all night, I woke him up. My mother was 44 when I was born, the same year my eldest brother got married. My sister-in-law becoming a part of our family was how my mother referenced my age. I liked making money, and was always a hustler. In Grade 7, I learnt to handle a tractor and helped my brother-in-law to plough, earning Rs10 a day. As I got better, he paid me more. By Grade 9, I was already making Rs500 per day, but had to slow down to prepare for my exams. From an early age I knew I did not want a 9-5 job. There just wasn’t enough money in it. I wanted to get into business, and compared my brother who worked in the post office and what businessmen made. It did not help that my brother was honest, and never took bribes. A friend and I made money selling cheap Chinese phones at a premium to our friends. We blasted music on the phones and pretended that we were giving them a discount. After SLC, I started teaching math and other subjects. I was soon a shareholder in the same school and in the evening I was involved in our family’s floriculture business, growing amaranth and marigold for garlands.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250831020844_1b54b999d67122a50c4c7e6204cc737bcc99bf2a68db6499a4566a7f61a880b4.jpg" data-media-id="editor_0" data-image-id="20250831020844_1b54b999d67122a50c4c7e6204cc737bcc99bf2a68db6499a4566a7f61a880b4" data-rendition-name="original" width="955" height="1314" loading="lazy" alt="Diaspora Diaries 72"> </figure>  It was then that a friend suggested we learn the Korean language. We could be earning significantly higher in Korea for similar efforts. I had no plans to go abroad but he convinced me. I did not know anything about Korea, and was scolded at the language institute when I asked someone to point Korea on the map.&nbsp; It was only there that I learnt you had to pass an exam for the Korean Employment Permit System (EPS), and pay for language classes. After a week, I decided it was not for me and dropped out. But my friend convinced me to give it one more try. I did not prepare much for the exam, and it was no surprise that I failed. But it was just by one mark, and people would pity me for failing “just by one mark”. It was a brand of failure. It hurt my ego. I had to turn things around by taking the exams seriously, and locked myself up to study hard.&nbsp; Even when we had visitors, my wife told them I was not home. If I was not in my room learning Korean, I would be with a group of ten of us test-takers comparing notes and practicing late into the night. The exam was difficult, but this time I passed, the only one in my group who did.&nbsp; As someone who never liked the idea of doing a job, I still had my doubts about going to Korea. It did not help that one of my acquaintances had returned a month after he had left, and he discouraged me from migrating given that I was already making good money in Nepal.&nbsp; But my wife suggested that I give it a shot since I had worked so hard for it. And if it really turned out not to be my cup of tea, I could always return. What did I have to lose, I thought, at least I would get to visit Korea. My job there was in an electrical company that made circuit boards. I worked all day, earned good money. In the evenings, I kept myself busy with my real estate business back in Nepal. I had learnt the tricks of the trade from fellow real estate agents back home, but at the time did not have the capital to invest.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250831020848_941e961e2045058f255ad89884b51faa7d2365c68236e5cbe573d63d769ac6c5.jpg" data-media-id="editor_1" data-image-id="20250831020848_941e961e2045058f255ad89884b51faa7d2365c68236e5cbe573d63d769ac6c5" data-rendition-name="original" width="1500" height="1000" loading="lazy" alt="Diaspora Diaries 72"> </figure>  In Korea, it helped that I had salary records that allowed me to get loans from financial institutions both in Korea and in Nepal. Ultimately, I started earning more from my real estate deals in Nepal than from my job in Korea. This was all thanks to my ability to take loans because of the EPS scheme. My wife has been managing the flower business while I was away. My finances grew stronger over the eight years I was in Korea. I paid off the loans that I had borrowed to buy land. But real estate did not satisfy me entirely. I wondered: what is my brand? What will I be known for? What is my contribution to society? Real estate is for wealth, but that is about it. I needed to sell one piece of land and use the revenue to start a venture. I took classes in business, and returned to Nepal six months ago and got back to my family’s ancestral roots in floriculture. In Nepal too, I am continuing the entrepreneurship training I had started in Korea with the Bridge International. Such exposure helps us reflect on our business such as our branding, vision, and proactive aspects like the importance of strong recordkeeping.&nbsp; I am now working to upgrade and expand my floriculture business. With a friend who is still in Korea I am building a cooling room to increase the shelf-life of flowers and other produce and set up a market in my village where others can sell their produce. Floriculture is our primary business, but it is seasonal and earns good money only during festivals like Tihar.&nbsp;  <figure> <img src="https://publisher-publish.s3.eu-central-1.amazonaws.com/pb-nepalitimes/swp/asv65r/media/20250831020848_a008ffeba13896e6918f68ff6e687c8fe11140d86a96f1ec11690547f2bcd415.jpg" data-media-id="editor_2" data-image-id="20250831020848_a008ffeba13896e6918f68ff6e687c8fe11140d86a96f1ec11690547f2bcd415" data-rendition-name="original" width="1280" height="720" loading="lazy" alt="Diaspora Diaries 72"> </figure>  So, I grow tomatoes to ensure year-round earnings. I also am engaged in other businesses like real estate and online shopping. I work round the clock in Nepal — a strong work ethic is something I picked up in Korea.&nbsp; My Korean bosses would work alongside us, that motivated us. I work just as hard in Nepal as I did in Korea. People here often ask me why I am pushing myself so hard. But making garlands comes easy to me, it is work my forebears were involved in. My childhood memories are about plucking flowers with my sister. I have a comparative advantage in this work. It comes naturally to me, it is easy and I enjoy it. And sometimes, if there are too many garlands to make, I can multitask while holding meetings. My fingers just fly. I am good at this job, but my wife is even better and faster.&nbsp; When there is too much load, we can also outsource the work. To be known as the flower guy would be great personal branding. The मखमली guy. Or the सयपत्री guy. I decided to come home for just this with a one-way ticket. “अब पासा: जाँदैन ल्हासा!” &nbsp;

The flower guy

It cannot be a coincidence that after pushing bills to constrict freedom of expression and allow greater <a href="https://nepalitimes.com/news/security-or-espionage">surveillance of citizens</a>, Nepal’s government is now tightening controls on civil society.
In a <a href="https://nepalitimes.com/opinion/guest-editorial/command-and-control">series of recent moves</a> journalists have been sued for contempt of court, imprisoned for YouTube videos, or ordered by courts to desist from investigating corrupt officials.
An amendment to the Print and Publications Act that would hand the power to shut online media to the Chief District Officer (CDO). Another draft Bill would allow a political appointee to head a new Media Council with the power to revoke a journalist’s license. The draft counter-intelligence Bill would let random officials to arbitrarily tap phones, read emails and trail citizens.
Now comes yet another draft Bill that would replace the <a href="https://archive.nepalitimes.com/news.php?id=10675">Social Welfare Council (SWC)</a> with direct government control over registration, regulation, and management of non-governmental organisations, nonprofits and charities. There are more than 54,000 NGOs, 200 international NGOs registered with the SWC.
The draft makes civil society organisations needlessly jump through hoops to carry out work that complements the government in the social sector. Critics say the Bill was drafted without any consultation with <a href="https://nepalitimes.com/opinion/comment/nepal-s-rights-groups-must-step-up-4r4z6ck4">civic groups</a>.
“This Bill’s content is questionable whether it intends to allow for civil society organisations in Nepal a free space to operate,” concludes Dr SP Kalaunee, Country Representative of BlinkNow Foundation and Chair of the Association of International NGOs in Nepal (AIN). “The draft seems oriented towards controling rather than facilitating the work of civil society organisations.”
The Bill will be open for feedback from the public, and integrates the National Directives Act (1961), Association Registration Act (1977), and the Social Welfare Act (1992) and proposes dissolving the SWC and replacing it with a new Social Welfare Department under the Ministry of Women, Children and Senior Citizens.
Non-government groups will now be required to get approval from the Registrar Office, the CDO or the provincial government depending on their area of operation. Those working across provinces will have to get permission from the federal government. &nbsp;
The government says the Bill is intended to vet organisations to see if they are engaged in espionage, violate national security, assist a foreign state, commit treason, cause strife between federal units, or incite communal violence.&nbsp;
CSOs working in Nepal have long called for legislation to better facilitate their work, minimise administrative and bureaucratic red tape which have posed operational challenges. But they are opposed to such drastic control.&nbsp;
Read also: <a href="https://nepalitimes.com/banner/the-crow-and-the-scarecrow">The crow and the scarecrow</a>, Om Astha Rai
The NGO Federation of Nepal also issued a statement this week calling the Bill ‘retrograde and cumbersome’. It added: ‘Most of its provisions are intended to further constrain and control civil society organisations rather than facilitate and strengthen them, and reduce the role of citizen participation … it is an attack on our civil liberties, inclusivity, and transparency, and curtails our <a href="https://archive.nepalitimes.com/news.php?id=5156">democratic values and constitutional rights</a>.’ &nbsp;
<a href="about:blank">Nepal’s graduation</a> from least-developed country status next year may mean less aid for Nepal, and higher interest rates on loans from multilateral creditors. The <a href="https://nepalitimes.com/news/how-usaid-cut-affects-nepal">closure of USAID </a>and reduction in bilateral grants means the work of INGOs will be even more vital – especially to meet its <a href="https://nepalitimes.com/here-now/target-2030-for-maternal-and-newborn-health">SDG targets by 2030</a>.&nbsp;
“We are competing with other countries at a time when the global aid environment is shrinking, so the support we receive is directly dependent on a conducive environment for INGOs to operate and function,” says Kalaunee. “INGOs follow regulations of the nations they operate in, they will not protest or wait around for governments to change their minds or policies.”
Social safety net
Since 1977, the work of non-governmental actors in Nepal has been regulated by the Social Service National Coordination Council (SSNCC) chaired by Queen Aishwarya.
After the <a href="https://nepalitimes.com/banner/one-moment-30-years-ago-today">1990 People’s Movement</a>, King Birendra set up the Social Welfare Council (SWC) as an autonomous body in 1992 through the Social Welfare Act. But since then the SWC has been dogged by controversy and allegations of corruption and extortion.
In 2018, the Commission for the Investigation of Abuse of Authority (CIAA) filed a Rs315 million corruption case against 14 individuals, including the Minister of Women, Children and Social Welfare and SWC chair Badri Prasad Neupane and other officials for violating public procurement laws to rent out three hectares of its property around Bhrikuti Mandap.
Civil society groups have for years called for reforms in the SWC, and a report was drawn up to restructure it before this Bill proposed its dissolution. INGOs in particular will now have to go through the Social Welfare Department and multiple ministries for permissions.
A particularly objectionable provision in the draft stipulates that NGOs must have a Board of Director made up almost entirely of secretaries of various ministries. The NGO Federation has urged the government to take a civil society-friendly approach and not tangle its work in red tape and control. It says the government has no option but to revise the bill in its current form.
“Civil society organisations need an open space to operate, and an autonomous body to oversee them,” says Kalaunee. “Non-government organisations support in the areas prioritised by the government but by definition they cannot be a part of government.”