kathmandu -Millennium Challenge Account (MCA) Nepal has signed two major contracts to advance the electricity transmission project under the Nepal Compact, a joint investment between the governments of Nepal and the United States.

MCA-Nepal awarded the Ratamate–New Damauli transmission line construction contract to Angelic Skipper Joint Venture and the New Damauli–New Butwal transmission line construction contract to Waiba–Salasar Joint Venture. The projects will involve the design, installation, testing, and operation of 180 km of 400 kV transmission lines.

The agreements were signed in the presence of officials from Nepal’s Ministry of Finance, Nepal Electricity Authority, the acting vice president of the MCC, the MCC Resident Country Director’s office, and the US Embassy in Nepal. MCA-Nepal Executive Director Khadga Bahadur Bista signed on behalf of MCA-Nepal, alongside representatives from the two companies.

The MCC Nepal Compact includes projects to strengthen electricity transmission and road maintenance, boost cross-border energy trade, and improve Nepal’s transport network connectivity.

Following a recent review of US foreign assistance, the MCC Nepal Compact was reactivated with renewed commitment from both governments.

MCC Deputy VP Visits Nepal as US Aid Resumes