Building of Sustainable Energy System in Nepal

Name: - Maharjan Sushila

ID: 3113999040
Energy Strategy and Energy Economy Class, Xian Jiao tong University
ABSTRACT: Nepal is one of the developing countries in South Asia. Though it is very rich in
natural resources, it is still not developed due to various technical, political and other
reasons. Most of the rural population is still dependent on traditional sources like fuel wood
and other sources of biomass for meeting their basic primary needs. Traditional resources
are neither sustainable nor desirable in consideration to environmental aspects. It is very
important to substitute those traditional resources with modern environment friendly and
efficient technologies for sustainable development of the country as well as improving
quality of life of people.

1. Introduction
Nepal is one of the developing nations
located in South-east Asia. It is rich in
natural resource, though it is a small
country. These natural resources are gift of
nature. Natural resources found are like
forest, water, soil, mineral etc. Forest is one
of the important natural resources. Different
types of forests are found in different
regions of Nepal. It occupies about 37% of
the total land of Nepal. Forest is the source
of all wood-based industries. Industries like
paper, furniture and timber are based on the
forest. Forests are rich in herbs. The herbs
have medicinal values. Many medicines are
made from these herbs. Timber and herbs
are valuable natural resources. The value of
timber and herbs is very high in the world
market. Nepal is rich in water resource.
Nature has been very kind to us by
providing us with unlimited supply of water.
Nepal is the second richest in the water
resources in the world after Brazil. Nepal is
a landlocked country. So Nepal does not
have access to the sea or oceans. But there
are lots of rivers that flow from the

Himalayas. When snow melts in the

Himalayas, the glacier and rivers are
formed. The rivers flow through the
mountain regions to the Terai. The main
rivers of Nepal are Mechi, Koshi, Narayani,
Gandaki, Karnali and Mahakali. These
rivers have several tributaries. In addition to
these
Kankai,
Bagmati,
Trishuli,
Marshyangi, Seti, Rapti, Bheri and also
important rivers of Nepal. Land is the other
natural resource of Nepal. In Nepal most
people depend on land. They do farming and
earn their living from land. Land includes
soil and minerals. The cultivable land in
Nepal is about 17%. About 38% of the land
is rocky and covered with snow. Minerals
like slate, stone, rock, coal, iron, copper,
limestone, magnetite, mica and natural gas
are natural resources. The marbles are made
of rocks. Limestones are used in cement
industries. Hetauda and Udaypur cement
factories are the examples of such industries.
Nepal is quite rich in mineral resources.
Mineral deposits such as gold, mica,
limestone, iron ore, copper are found in
different parts of Nepal. Because of

financial constraint and lack of technical and

skilled manpower, progress in the field of
mining is negligible. If we utilize the
mineral resources of Nepal properly, we can
earn foreign currencies and people will get
job opportunities also.
Nepal's economic development depends
critically on natural resources that are fragile
and being rapidly degraded. In Nepal, the
links between poverty, economic incentives,
institutional weaknesses in government, and
the destruction of land, water resources, and
forests are more starkly visible than in
countries where environmental damage is
not, or not yet, so severe. A new OED study
analyzes the projects, policies, and
institutional reforms that have affected the
management of Nepal's natural resources
over 25 years (1966-89). The study finds
that despite $4.5 billion of aid for projects
affecting natural resources, Nepal still has
worsening environmental problems and no
effective strategy to address them. The
Bank's own assistance has done little to
promote better natural resource management
except within the sphere of the individual
projects it has financed. Yet, as resource
degradation continues, the country's scope
for improving living standards diminishes.
Because better resource management will
require not only financial investments but
changes in policy, institutions, and
individual behavior, environmental concerns
urgently need to be incorporated into
decision making at all levels. It is very
important build a sustainable energy system.
Sustainable development comes from
attaining a balance across the various forms
of capital over space and time. The forms of
capital participate in the development

process-- human, natural, institutional,

cultural, physical, and financial. In Nepal,
the accumulation of physical and financial
capital has been sought more aggressively
than the acquisition of human and
institutional capital or the conservation of
natural capital. But as natural capital
continues to deteriorate, the possibilities for
sustainable
development
diminish.
Sustainable use might have been made of
both financial and technical assistance.
Looking ahead Nepal's decisions on
development
policy
and
economic
management at all levels urgently need to
take
more
systematic
account
of
environmental concerns.
2. Present energy scenario in Nepal
Nepal relies heavily on traditional energy
resources and there is no much more
availability of fossil fuels. Nepal uses the
lowest commercial energy (around 500kwh
per capita per year) of all south Asians by so
far. The total energy consumption in Nepal
for the year 2003/04 was 363 million GJ of
which the residential sector consumed 90%
and agriculture sector 1%. Based on the fuel
type, biomass provided 86% of the total
energy consumption, petroleum 9%, which
is mainly consumed by urban areas,
electricity only 2% and renewable 1% of the
total energy consumption.
About 40% of the total population has
benefited from electricity by the end of the
ninth plan. This 40% is reported to include
consumption of 33% from National grid and
7% from alternative energy.
About 84% of Nepal population lives in
rural areas, and agricultural work are the

mainstay of the rural population. For the

year
2003/04,
total
rural
energy
consumption is 288 million GJ of which the
rural residential consumed 97%. From end
use perspective, of the total energy
consumed in rural Nepal, 63.9% was used
for cooking, u8.5% for heating purposes,
1.31% for lighting, agro processing
accounted for 3.4%, for animal feed
preparation 16.5% others such as religious
occasions and ceremonies for 4.3%. Of the
total energy consumption of 288 million GJ
in rural Nepal, biomass accounts for 98%
while electricity accounts for only 0.1% of
the total energy consumed and petroleum
products comprise 1.6% and renewable
source 0.5% of the total energy consumed.
The millennium development goal put
forward by the United Nations are
development milestones for developing
countries to be met by 2015. Every one of
the six goals requires the usage of energy to
meet the goals. They are:

Halving extreme poverty: Energy for

income generation
Halving the number of people living
with hunger: Energy for agriculture
and food processing and irrigation
Achieving
universal
education:
Energy for lighting, communications
and internet
Promote gender equality: Reduce
burden of firewood collection and
cooking time and indoor pollution,
opportunities for education
Reducing
mortality/
improving
health: Reduce indoor air pollution,
vaccinations using refrigeration

Ensuring environment sustainability:

Reduction in the use of firewood,
reduce production of greenhouse
gases.
3. Energy resource base in Nepal
The major energy resource base in Nepal
consists of biomass, hydroelectricity,
petroleum products, and natural gas and
coal reserves. Among the entire energy
resource base, it is evident that biomass
is the dominant resource base of the
country with respect to its utilization.
Nepal has a huge potential for
hydropower production, but currently
this remains mostly untapped.
3.1 Biomass energy
Nepal relies heavily on biomass fuel
as a result of the lack of development
of other energy alternatives and the
overall poor economic condition of
the nation. Fuel wood is the main
source of energy in Nepal and will
continue to remain so for a long
time. It is estimated that sustainable
annual yield of fuel wood in Nepal is
25.8 million tons, or an average of
2.8 tons per hectare of forest.
However, only 42%, or 10.8%
million tons, of the theoretical
sustainable supply is accessible.
Forest resources are under increasing
threat from the burgeoning human
and livestock populations and their
need to meet annual requirements for
fuel wood, fodder, timber, and other
minor forest products. About 44000
ha of forest area is believed to be
degraded and deforested annually,
while only about 4000 hectares are
reforested. Conversion of forestland

for cultivation, high population

growth, and a low level of
development have all aggravated the
pressure on forests throughout
Nepal. Where forests are becoming
relatively scarce, people are relying
increasingly on crop residue and
animal waste, resulting in the
degradation in fertility of the
agricultural land. In 1994/95, the
supply of crop residues in the
country that could be used as energy
was estimated to be 112.13 million
tons (WECS I 994, PEP1995).
Likewise the country has 4.8 million
tons of animal dung annually
potentially available as fuel.
3.2 Hydropower
The hydropower potential of Nepals
river systems is about 83000 MW,
out of which only 25% is potentially
available for development (WECS
1994; WECS 1996). Hydropower
utilization is currently less than one
percent of the proven potential. The
total
installed
hydroelectric
generation capacity is 586 MW
(NEA 2002). This power has been
made available to 878100 consumers
through 1962km of transmission and
distribution lines. The national grid
represents the overall hydroelectric
industry of Nepal as it accounts for
almost 98% of the capacity and 99%
of the energy supplied. A part from
national grid, both the public and
private sectors and independent
power producers manage isolated
supply systems. At present, there are
35 small/ mini hydroelectric plants in

operation in remote areas of the

country.
3.3 Petroleum, Natural Gas and Coal
There are no proven reserves of
petroleum suitable for commercial
exploitation have been found in
Nepal. Thus all petroleum products
consumed are imported in refined
form for direct consumption. The
alternative fossil fuel, natural gas,
has also not been discovered as yet
in any significant amount. Coal is in
many countries among the cheapest
sources of energy known. Two
deposits are believed to have some
economic significance, one in
Kathmandu and one in Dang. Even
these deposits, however are believed
to be insignificant in terms of energy
demand (WECS 1994).

4. Renewable Energy development

scenario in Nepal
It is quite important to substitute as well as
supplement the traditional energy supply by
modern forms of sustainable energy in terms
of resources and technology. Because of the
countrys dependence on imported fossil
fuel, high cost of grid connection and low
and scattered population density, a
decentralized energy supply system becomes
the
natural
and
feasible
choice.
Decentralized new and renewable energy
systems such as micro hydro, solar photo
voltaic, biogas, improved cooking stove etc.
provide feasible and environment friendly
energy supply options in rural areas. The
most
important
renewable
energy
technology in Nepal is related to Pico

hydropower and micro hydropower (up to

100 KW), biomass energy (biogas,
briquettes, gasifiers, improved cooking
stoves), solar photovoltaic (solar home
systems, solar PV water pumping, solar
battery charging), solar thermal energy
(solar water heater, solar dryer, solar cookers
etc).
5. Government
policies
for
promotion of Renewable energy
The positive role of renewable energy
technology for the fulfillment of energy
needs of the rural people was recognized by
the National Planning commission/ Nepal
during the Seventh Five Year Plan. The
Eight Plan (1992-1997) envisaged the need
for a coordinating body for large scale
promotion of alternative energy technologies
in Nepal and Alternative Energy Promotion
Centre (AEPC) was thus established to
promote the use of Renewable Energy
Technology and act as the government
coordinating body. Though renewable
energy programs have positive implications
on poverty reduction, but this has not been
the explicit goal of renewable energy
programs in Nepal until the commencement
of the Tenth plan in 2002. A separate subsidy
policy has been made effective by His
Majestys Government of Nepal (HMG/N)
channeling through the APEC, for extensive
promotion
of
Renewable
Energy
Technologies in the rural areas.
The improved cook stove and biogas
programs initially had goals to reduce
firewood consumption but now they also
justify themselves on health ground and are
linked to income generation as well as
reduction of womens drudgery. Biogas has

been mainly used for cooking and the bio

slurry has been used as a high quality
fertilizer
for
increasing
agricultural
productivity. Few households have used the
biogas for lighting. Micro hydro was seen as
a technology to reduce drudgery, provide
lighting but now the productive end uses are
considered as the desired priority. Solar
energy has served widely as a home lighting
device. Solar energy has also been used for
drying and cooking food, powering
computers, irrigation and drinking water
systems but these uses are very limited.
The national long term vision of alternative
energy sector as outlined in Nepal poverty
reduction
strategy
paper
explicitly
recognizes the role of renewable energy
technology in the socio economic
development of rural people and aims at
Accelerating
economic
development,
improving living standard of rural people,
increasing employment opportunities and
maintaining environmental sustainability
through the development of rural energy
systems. To realize this long term vision
the Tenth Plan has set the objective of
renewable
energy
development
as
developing and expanding alternative
energy as a powerful tool for alleviating
poverty, raising purchasing power of the
rural people by developing alternative
energy technologies based on the local
resources, skill and increasing consumption
of alternative energy and reducing
dependency on imported energy by lowering
the cost of installation through the proper
utilization of local resources and means.
The Tenth Five year plan (2002-2007)
emphasizes on:

Increasing the consuming capacity of

rural families by developing and
extending the alternative energy
sources, seen as powerful tool for
poverty alleviation.
Supplying
energy
for
commercialization of the domestic
needs and the professions of rural
population by developing alternative
energy technologies based on local
resources and tools.
Reducing dependency imported
energy sources and reducing
negative environmental effects by
the proper use of resources and tools
of local energy.
Improving and increasing the energy
use competency and increasing the
access of rural people by reducing
the cost of development and
installation of alternative sources of
energy.

In the current Tenth Five Year Plan,

HMG/N plans installation of

52000 units of solar PV home

systems
200000 biogas plants
250000 improved cook stoves in
45 districts of Nepal
Installation of extra 10000KW
(10 MW) of electric capacity
through pico and micro hydro
installations within the plan
period.
6. Status of Renewable energy
technologies and energy saving
devices
6.1 Micro-hydropower

Various kind of micro-hydro technologies

such as use of propeller turbines, cross flow
turbines, pelton wheels, multi purpose
power units (MPPU), peltric sets and
improvements in traditional ghattas (water
wheels) with better efficiency system have
been developed in the past to tap the water
resources more effectively. They are mainly
used for agro processing activities and
electricity generation. By 2002, about 1000
improved ghattas have been installed mainly
for agro processing activities, in comparison
to the traditional ghattas estimated at 25000
thus providing a huge potential for its
improvement to generate rural energy in
Nepal. Since, January 2003, improved water
mill support program has been initiated as a
part of His Majestys Government of Nepal
and Netherland Development Organization
Program support to Renewable Energy
sectors to develop and disseminate improved
water mill as a sustainable energy source in
the mid hill and high hill district of Nepal.
The program is being implemented by
CRT/N and aims to install 4000 improved
water mill in a five year period. Till June
2005, 1092 improved water mills have been
installed under this program (CRT/N, 2005).
The distribution of micro hydro units is
among other things, by proximity to the
manufacturer, the extent of the development
of the region, donor support and the
availability of electricity from NEA. From
1986 onwards the number of micro hydro
plants being installed within accessible areas
of the country declined. At present, NEA has
no plans to construct new hydro plant in the
micro range and thus rural areas, especially
in hills and mountains, can only receive
electricity through private utility micro-

hydro plants. The success of privately

summed micro-hydro plants largely depends
upon the commercial end use as well as the
management capacity of the owner.
6.2 Solar energy
Solar energy has been used traditionally for
dring such things as crops, clothes, fuel
wood and crop residues. The solar energy
potential in Nepal is estimated to be about
26 million MW. Currently there are two
types of solar energy technology in the
country: solar thermal systems and solar
photovoltaic (PV) systems.
Solar water heaters and solar dryers are the
two main types of solar thermal devices. Of
these, solar water heaters are popular in
Kathmandu. These heaters are suitable for
use throughout the country except in those
regions that have long and harsh winters
where the temperature falls below freezing
point. However, because of the high cost,
this technology is too expensive for most
people.
Solar cookers were introduced by the
Research Centre for Applied Science and
Technology (RECAST) in 1977 as
parboiling cookers. The Centre for Rural
Technology, Nepal (CRT/N) took further
initiative to promote Solar Cookers since
early 1990s with the government subsidy
channeled through Alternative Energy
Promotion Centre (AEPC). Because of their
high cost, this technology has not become
popular in the rural areas. Although various
types of solar cookers have been developed
to reduce cost, efforts to improve the
efficiency of solar cookers have yet to be
undertaken.

The Solar PV (photovoltaic) systems

convert solar energy directly into electricity.
The NEA has carried out centralized solar
photovoltaic based rural electrification in
different locations. The cost of a centralized
solar PV-based power system is high,
compared to electricity generation by
smaller micro-hydropower units.
Lately,
private
entrepreneurs
and
non0govermental organizations (NGOs)
have been showing interest in the
dissemination of solar PV home lighting
systems. These home systems are gaining
popularity in some areas of Nepal. There are
around 57875 PV home systems are
installed in the country by the end of 2004
covering 74 districts (Nepal, 2004). Energy
Sector Assistance Program (ESAP) of
Danish Government and AEPC has
supported promotion and installation of
household PV systems in Nepal.
6.3 Biogas Technology
Biogas technology is considered to be one of
the most promising and sustainable sources
of renewable energy in Nepal. At present
most biogas plans are in the Terai, but they
are gaining popularity in the hill regions as
well. The mountain region is unfavorable for
biogas production because of the cold
climate. It is estimated that there is potential
of 1.3 million household biogas plants in the
country. By the end of December2004,
123395 biogas plants of different sizes have
been constructed so far in the country
benefiting
860000
persons
directly.
Annually, biogas plants in Nepal save
239386 tons of firewood and they replace
383000 liters of kerosene every year (Nepal
2004). There are 65 authorized biogas

companies involved in the installation of

biogas plants in Nepal.

Seventh Five Year Plan (1985-90). During

this plan period both capital and iiiiinterest

Despite biogas technology being fairly

successful at present, a number of technical
and institutional problems had emerged that
will greatly retard diffusion of this
technology. Lack of adequate water supply
required for operating the biogas plants in
the hills and the mountain areas is often
reported as a hindrance to the establishment
of such plants. It is also found in some cases
that the operation and maintenance of biogas
plants has increased the workload for
women, as they have to carry more water.
Uniformity or standardization of design,
installation, construction materials, or
supply of accessories has not yet been
achieved. Community level biogas plants
have not yet been fully developed and
promoted. There is still no competent biogas
development and promotion unit in the
country. Costs are escalating and beyond the
affordable limit of poor households. The
interaction between designers and end users
is poor, which does not help to improve the
design. (WECS 1996; Gongal and Shrestha
1998). If all the available dung were to be
used for biogas, the potential biogas
production would be around 12000 million
m3 per year, which is equivalent to 29
million GJ (about 10% of the present energy
consumption) and the use of this dung
would not affect agricultural productivity
(WECS 1996).

Interest subsidies for the biogas program

were provided by the government through
the Agricultural Development Bank. This
subsidy program is now being continued
with the assistance of the government of the
Netherlands. Cost effective designs, longtern biogas development programs, as well
as
institutional
and
credit/incentive
mechanisms are required to further exploit
their potential.

The current state of development of biogas

in Nepal is largely the result of incentives
provided by His Majestys Government
(HMG/N). A plan for the installation of
biogas plants was first incorporated in the

6.4 Improved Cooking Stoves

Improved cooking stoves have the potential
to save the fuel wool used for household
cooking. About 11 million tons of fuel
woods are burnt annually for cooking alone.
Theoretically, it is possible to reduce fuel
wood consumption for cooking by 50%.
Improved Cooking Stoves have an
efficiency factors in the range of 15 to 30
percent, whereas the efficiency of traditional
mud stoves varies from 3 to 15 percent.
There are various types of Improved
Cooking Stoves and the efficiency of these
stoves varies. The amount of fuel wood
saved depends among other things on the
type of Improved Cooking Stoves, and the
type, the condition of the fuel wood, the type
and amount of food prepared, and the type
of pot used for cooking. Even with a low
performance of 11% fuel wood savings,
estimates indicate that one Improved
Cooking Stoves can save an average of 1
tons of fuel wood annually.
Since the introduction of Improved Cooking
Stoves in the early 1950s, more than
200000 Improved Cooking Stoves have

been installed. However, the actual status of

Improved Cooking Stoves currently in use is
not available. After the initiation of
AEPC/ESAP supported by the Danish
Government assisted Improved Cooking
Stoves promotion program in 1999,
Improved Cooking Stoves is gaining
popularity in the mid hills of Nepal. From
2001 as of March 2005, 125498 Improved
Cooking Stoves have been installed in the
country under this program in 33 districts
(AEPC 2005).
6.5 Wind Power
This technology is still in its initial
experiment phase. A wind power system was
installed in kagbeni to generate about 20
KW of electrical power (annual energy of 50
MWh) but was damaged as a result of the
poor design. The high installation cost
(about US $6800 Per KWh) did not justify
further development (WECS 1994).

RETs
Micro Hydropower

Biogas

7. Major issues and constraints in the

Development and Promotion of
Renewable Energy Technologies
Various factors such as wide geographical
variability, lower literacy rate among the
users and high cost factor are some of the
major issues associated with the promotion
of sustainable energy in the country. Some
of the constraints are explained below:

Improved
(ICS)

cooking

stoves

Technical
-Most mill managers are not trained
in management.
- Operation and Management
ignored.
- Cost of feasibility studies borne by
manufacturers, studies are biased
leading to various technical and
socio economic problems.
-Quality of construction material
and monitoring differ among the
companies installing such plants.
- Poor performance as a result of
inferior
construction
material,
selection of wrong size and
negligence in construction and
operation.
- The main problem in family size
plants is low gas yield during the
winter and rainy seasons.
- The problem for community sized
plants
relate
to
ineffective
management, sharing of benefits
etc.

Financial
- High cost of
load factors of
projects econom
- Lack of d
constraint.

-Holes for pots are too small to

accommodate the large pots used in
many households.
- The baffle is too small to achieve
good heat transfer.
- ICS cannot provide both space
heating and cooking, especially

-ICS program
dependent on
external donors
mobilization of i

-Although bioga
superior to direc
of cake (dung
energy utilizatio
efficiency of 60
against 11% for
cake), it can onl
profitable & attr
marginal farmer
provided
a
appropriate fina
Mechanism.
-Biogas product
more popular
becomes scarcer

important in the higher hills and

mountains.
- ICS cannot handle agricultural
biomass and industrial residues.
- Inserts are too heavy and too
fragile
for
widespread
dissemination in Nepal.
- Lack of quality control at
production sites results in the
production of low quality stoves.

Solar

-Lack of knowledge, information

and technical know-how among the
manufactures is the major problem
for solar water heaters.
-Leakage problem in store tank and
hot water pipelines is a problem for
industrial solar heaters.
- Solar cookers cannot be used for
frying, cooking time is longer, and
their use is limited to time of good
sunshine.
-Frequent breakdown of electrical
component

8. Conventional forestry systems for

sustainable production of bio
energy.
Nepal is abundantly rich in forest resources.
Most of the people living in rural areas
depend upon forest resources for many
purposes. Forest ecosystem constitutes the
worlds largest accessible source of biomass,
which may be available from forest
operations in conventional forestry systems
and thus may be one of the most important
suppliers of fuel to the bioenergy industry.
An important way to realize this potential is
the integration of biomass production and
forest fuel harvesting into conventional
forestry practices. This was the focus of IEA

Bioenergy Task 31 Conventional Forestry

Systems for Sustainable production of
Bioenergy.
Silvicultural
and
forest
management system offering opportunities
for biomass recovery for energy were
identified,
including
different
stand
treatments, mixed stand management and
expanded utilization. Forest operations
systems were developed to enable cost
efficient and environmentally acceptable
recovery of biomass for energy and
conventional
forest
products.
The
sustainability of production system was
accessed, based on forest ecosystem
research with a focus on nutrient cycling and
wood ash recycling, carbon sequestration,
stand productivity, and soil and water
conservation. Several current situations
present specific challenges and opportunities
for biomass recovery for energy. In denselypopulated regions, energy needs are often
greater than elsewhere, but public opinion
may dictate that forest conservation for
recreation and environmental purposes takes
higher priority than harvesting of forest
fuels. A related situation exists in the urban
wild land interface where long term
exclusion of fire from forests in which it was
a normal feature of the ecosystem has
resulted in dangerously high forest fuel
build-ups and potential for disastrous wild
fires. Bioenergy use can help make the
management of such fuel loadings economic
and effective. A third issue is the
contribution of forest-derived bioenergy to
Greenhouse balances, currently one of the
key drivers for increased use of biomass
energy.
9. Biomass briquetting

Biomass briquetting is the densification of

loose biomass materials (agricultural
residues, forestry wastes etc.) to produce
compact solid composites of different sizes
called briquettes. Densification is the
general process of compressing the raw
materials to a certain form using a mould
and pressure. In 1982, two different
briquetting technologies were introduced in
Nepal, namely pyrolysing and extrusion
technology. Nearly 20 enterprises registered
with the Ministry of Industry for the
installation of briquette plants. However,
about 65% of them have not yet started
operating due to poor profitability and
marketing problems, as well as shortage of
rice husk. Only one manufacturer has
continued to produce rice husk briquettes in
Nepal. Many other plant owners have closed
the plants due to technical and marketing
problems. This briquette is not used in
household cooking but can be used. It is
mostly used in institutional cooking. It is
also used in space heating in urban areas.
High initial investment, increase price of
raw material, and frequent repair of extruder
are problems associated with it.
A technique for producing beehive shaped
charcoal briquettes from leaves twigs, and
forestry/agricultural residues has been
developed in Nepal. It is claimed that
briquettes are easy to ignite, burn quite
cleanly and could be appropriate for rural
areas of Nepal. This technology has gained
wide scale popularity through the
Community Forestry Users Groups and has
been disseminated throughout the country.

10. Future direction for Promotion of

Renewable Energy Technologies
for sustainable development
Need to
encourage
financial
institutions for formulating effective
and appropriate policies, and to
increase more and more financial
institutions, besides the existing ones
to participate in the development of
Renewable Energy sector in Nepal.
Need to allocate adequate subsidies
in a consistent manner to promote
the renewable energy sector. Subsidy
allocation should be determined by
the accessibility of the project area,
and the appropriate method of
energy generation.
Need to strengthen education and
training in renewable energy,
especially end users training,
technical/vocational training and
trainers training.
Need to emphasize research and
development works.
Need to execute awareness program
targeted
to
policy
makers,
government officials, entrepreneurs,
social workers, consumers and
people at District Development
Committee and Village Development
Committee levels.
11. Conclusion
Nepals energy scenario is dominated by
traditional energy resources as it supplies
more than 85% of the total energy demand.
Improved cooking stoves are being used in
the place where access to fuel wood is
limited.
Micro-hydro
and
biogas
technologies have been proved to be viable
alternative energy technologies in Nepal.

These technologies creates awareness

among the rural people, make life of people
more comfortable, improves the educational
status of rural children and will promote
some industrial activities which will
generate some opportunities. Solar energy

technologies, both photovoltaic and Solar

Thermal Technologies have been promoted
gradually in the country while the Wind
energy and geothermal energy technologies
have yet to be harnessed.