Production Halted at Sipring Khola Hydropower Project

Power generation at the 10 MW Sipring Khola Hydropower Project, promoted by Synergy Power Development Limited, has come to a complete standstill. Production was halted after massive floods and landslides on the night of July 21 (Sawan 5) around 11:00 PM caused extensive damage to the project's infrastructure.

According to information provided by the company to the Nepal Stock Exchange (NEPSE), the floods and landslides severely damaged most structures in the project's headworks (dam area). The company stated that based on preliminary information, power generation had to be completely suspended for the time being due to physical damage to the infrastructure.

Disclosing the details of the damage, the company’s Managing Director, Surendra Bahadur Khadka, formally notified regulatory bodies about the grave situation. The company has also dispatched copies of the notification to the Securities Board of Nepal (SEBON), Electricity Regulatory Commission, Office of the Company Registrar, and CDS and Clearing Limited.

Further studies are currently underway to assess the full extent of the damage and the time required for rehabilitation at the project site located in Dolakha district. The shutdown of the project due to the natural disaster is expected to directly impact the company's daily production and revenue.