Kathmandu, Aug 30: The Millennium Challenge Account Nepal has completed the first year of implementing the Millennium Challenge Corporation Nepal Compact since its entry into force on August 30, 2023.
Over the past year, the Compact has achieved significant milestones, including the award of $126 million in construction contracts for three 400 kV substations, and two-year livelihood restoration programs benefiting 270 individuals at the Ratmate substation, according to a statement issued by the U.S. Embassy.
Today, MCA-Nepal marked another major milestone by signing a $12.36 million contract with Transrail Lighting Ltd. for the construction of the 18 km cross-border transmission line from New Butwal to the Nepal-India border. This critical link will significantly enhance Nepal’s energy infrastructure and deepen cross-border energy cooperation.
In addition, MCA-Nepal has signed contracts totaling $1.2 million to provide embedded advisory support to the Electricity Regulatory Commission (ERC) and $2.4 million under the MCA Partnership Programme to enhance electricity use in project-affected wards.
These achievements not only reflect the progress made in the first year but also build strong momentum as the MCC Nepal Compact’s implementation moves into the second year, positioning Nepal to become a regional leader in energy export, job creation, and infrastructure development, the statement added.
