Initials PPA for ADB-promoted Hydroelectric Power Project 90 per cent of the power will be bought by India Nepal will get a revenue of $60 million per annum NEW DELHI: The Power Trading Corporation (PTC) and Australian company Snowy Mountain Corporation have initialled a Power Purchase Agreement (PPA) for the Asian Development Bank-promoted 750 MW West Seti Hydroelectric Power Project in Nepal. While a private Nepal party will hold 10 per cent stake, ADB will have 15 per cent share, Snowy Mountain Corporation 25 per cent, a Chinese company 15 per cent, an equal stake by IL&FS and the rest by the Nepal government. While the Engineering Procurement and Construction (EPC) project has been bagged by a Chinese company, 90 per cent of the power would be bought by India under the agreement's terms and conditions. Announcing this on Friday after initialling the PPA, Minister of State for Power, Jairam Ramesh said the project would be 187 X 4 units with an expected generation of around 3,251 million units a year. This is India's first major entry into Nepal's power sector. When the project begins production, it would give a revenue of $60 million per annum to the Nepal government. In India, the likely beneficiaries of the project would be Uttar Pradesh, Haryana, Punjab and Delhi. The best part of this hydro venture is that the project would be able to generate high amounts of power even during winter months. A total of 135 km of transmission line from the project site up to the Indo-Nepal border would be laid from the Nepal side and another 100 km to Atamanda, near Bareilly on the Indian side. PTC, IL&FS and Power Grid are likely to take equity in this transmission line. In addition to this, Nepal would get 10 per cent free power. The ADB may take up the financial approval of the project next month after which formal work on the project would start, Mr. Jairam said.