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Nepal Electricity Authority

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Nepal Electricity Authority: National utility, 100% hydropower, major exporter, facing flood risks.

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The Nepal Electricity Authority (NEA) is the national electricity provider for Nepal, with its operations almost entirely reliant on hydropower. This reliance has allowed Nepal to achieve near-complete electrification and become a significant exporter of hydroelectricity, earning substantial revenue from neighboring countries like India and Bangladesh. However, recent devastating floods have highlighted a critical vulnerability in this energy strategy. The very mountainous terrain and glacial sources that provide Nepal's hydropower potential are also susceptible to extreme weather events, leading to disruptions and damage. The floods, which have decimated bridges and infrastructure, underscore the risks associated with an almost exclusive dependence on hydropower, especially in the face of climate change and its impact on water resources and natural disasters. The NEA's current situation is therefore newsworthy due to the direct threat these environmental challenges pose to the nation's energy security and export revenues.
Last updated: September 21, 2026