A SWOT Analysis of Nepalese Hydropower Policy
Hydropower, in which Nepal has comparative advantage, has a potential to contribute to Nepal’s energy security and sustainable development. The government of Nepal enacted the Hydropower Development Policy in 2001 (HDP-2001) as an overarching policy to coordinate all policies forthcoming in this sector. This paper has critically analysed HDP-2001 by applying the Ecosystem services-based Strength, Weakness, Opportunity, and Threat (SWOT) technique. The paper has evaluated peer-reviewed scholarly articles, secondary data, and government publications available in public domain. The strengths and weaknesses of the policy were analysed by applying seven specific indicators. The research indicates that HDP-2001 has been successful in overcoming some of the pertinent challenges in Nepalese hydroelectric industry, however, it also faces several limitations on account of climate change, economic dislocations, effective monitoring, ensuring competitiveness, delivering fair price to the consumers, and institutional governance issues. Designing a practical mitigation plan, while being aware of its limitations, could be helpful in minimizing the impact of these exogenous factors.
Keywords:Ecosystem Services-based SWOT, Hydropower policy, Nepal
Alam, F., Alam, Q., Reza, S., Khurshid-ul-Alam, S., Saleque, K., & Chowdhury, H. (2017). A Review of Hydropower Projects in Nepal. Energy Procedia, 110, 581-585. Retrieved 7 3, 2020, from https://sciencedirect.com/science/article/pii/s1876610217302187
Agyekum, E. B., Ansah, M. N. S., & Afornu, K. B. (2020). Nuclear energy for sustainable development: SWOT analysis on Ghana’s nuclear agenda. Energy Reports, 6, 107-115.
Ansar, A., Flyvbjerg, B., Budzier, A., & Lunn, D. (2014). Should We Build More Large Dams? The Actual Costs of Hydropower Megaproject Development. Energy Policy, 69, 43-56. Retrieved 7 3, 2020, from https://sciencedirect.com/science/article/pii/s0301421513010926
Asian Development Bank. (2016). Basic Statistics. Manila: ADB.
Balasubramanya, S., Giordano, M., Wichelns, D., & Sherpa, T. (2014). Sharing hydropower revenues in Nepal, over time and across districts and regions. Water Resources and Rural Development, 4(4), 104-111. Retrieved 7 3, 2020, from https://cgspace.cgiar.org/handle/10568/51635
Carvajal, P. E., Anandarajah, G., Mulugetta, Y., & Dessens, O. (2017). Assessing uncertainty of climate change impacts on long-term hydropower generation using the CMIP5 ensemble—the case of Ecuador. Climatic Change, 144(4), 611-624. Retrieved 7 11, 2020, from https://link.springer.com/article/10.1007/s10584-017-2055-4
Central Bureau of Statistics. (2015, November 24). Nepal in Numbers. Kathmandu: Government of Nepal.
Chen, W. M., Kim, H., & Yamaguchi, H. (2014). Renewable energy in eastern Asia: Renewable energy policy review and comparative SWOT analysis for promoting renewable energy in Japan, South Korea, and Taiwan. Energy Policy, 74, 319-329.
European Commission. (2004). National sustainable development strategies in the European Union: a first analysis by the European Commission,.
Fertel, C., Bahn, O., Vaillancourt, K., & Waaub, J. P. (2013). Canadian energy and climate policies: A SWOT analysis in search of federal/provincial coherence. Energy Policy, 63, 1139-1150.
Fujikura, R., & Nakayama, M. (2009). Lessons learned from the World Commission on Dams. International Environmental Agreements-politics Law and Economics, 9(2), 173-190. Retrieved 7 3, 2020, from https://link.springer.com/article/10.1007/s10784-009-9093-y
Gc, A., & Ghimire, K. (2018). A SWOT Analysis of Nepalese Agricultural Policy. Retrieved 7 3, 2020, from https://dergipark.org.tr/tr/download/article-file/534078
Gunatilake, H., Wijayatunga, P., & Roland-Holst, D. (2020). Hydropower development and economic growth in Nepal. Asian Development Bank.
Halisçelik, E., & Soytaş, M. A. (2019). Sustainable development from millennium 2015 to Sustainable Development Goals 2030. Sustainable Development, 27(4), 545-572. Retrieved 7 6, 2020, from https://onlinelibrary.wiley.com/doi/10.1002/sd.1921
Haque, H. E., Dhakal, S., & Mostafa, S. (2019). An assessment of opportunities and challenges for cross-border electricity trade for Bangladesh using SWOT-AHP approach. Energy Policy, 111118. Retrieved 7 11, 2020, from https://sciencedirect.com/science/article/pii/s0301421519307050
Helms, M. M., & Nixon, J. C. (2010). Exploring SWOT analysis – where are we now? Journal of Strategy and Management, 3(3), 215-251. Retrieved 7 3, 2020, from https://emerald.com/insight/content/doi/10.1108/17554251011064837/full/html
Igliński, B., Piechota, G., Iglińska, A., Cichosz, M., & Buczkowski, R. (2016). The study on the SWOT analysis of renewable energy sector on the example of the Pomorskie Voivodeship (Poland). Clean Technologies and Environmental Policy, 18(1), 45-61. Retrieved 7 3, 2020, from https://link.springer.com/article/10.1007/s10098-015-0989-7
International Hydropower Association. (2020). Hydropower status report. International Hydropower Association: London, UK.
Irfan, M., Suleman, A. H., Sarwar, U. B., Abas, N., & Saleem, M. S. (2019). SWOT analysis of energy policy 2013 of Pakistan. European Journal of Engineering Science and Technology, 2(1), 71-94.
Kaphle, R. R. (2019). Relationship between Remittance and Economic Growth in Nepal. Tribhuvan University Journal, 32(2), 249-266. Retrieved 7 11, 2020, from https://nepjol.info/index.php/tuj/article/view/24722
Kibler, K. M., & Tullos, D. (2013). Cumulative biophysical impact of small and large hydropower development in Nu River, China. Water Resources Research, 49(6), 3104-3118. Retrieved 7 11, 2020, from https://agupubs.onlinelibrary.wiley.com/doi/full/10.1002/wrcr.20243
Lange, K., Meier, P., Trautwein, C., Schmid, M., Robinson, C. T., Robinson, C. T., . . . Brodersen, J. (2018). Basin‐scale effects of small hydropower on biodiversity dynamics. Frontiers in Ecology and the Environment, 16(7), 397-404. Retrieved 7 11, 2020, from https://esajournals.onlinelibrary.wiley.com/doi/abs/10.1002/fee.1823
Nepal Electricity Authority. (2019). Retrieved 7 3, 2020, from http://www.nea.org.np/annual_report
Nepal, R., & Paija, N. (2019). Energy security, electricity, population and economic growth: the case of a developing South Asian resource-rich economy. Energy Policy, 132, 771-781. Retrieved 7 6, 2020, from https://data.mendeley.com/datasets/np92pry38b/1
Neupane, A. (2014). The Necessity of/and Challenges to International Project Financing of Hydropower Projects in Nepal. Hydro Nepal: Journal of Water, Energy and Environment, 13, 16-19. Retrieved 7 3, 2020, from https://nepjol.info/index.php/hn/article/view/10033
Pachauri, S. (2014). Energy access, poverty, and development: the governance of small-scale renewable energy in developing Asia | Energy access, poverty, and development: the governance of small-scale renewable energy in developing Asia, Benjamin K. Sovacool, Ira Martina Drupady (2012). Energy, 68, 1007-1008. Retrieved 7 6, 2020, from https://sciencedirect.com/science/article/pii/s0360544214002187
Pathak, M. (2011). Climate change: uncertainty for hydropower development in Nepal. Hydro Nepal: Journal of Water, Energy and Environment, 6, 31-34. Retrieved 7 3, 2020, from https://nepjol.info/index.php/hn/article/download/4190/3564
Poudyal, R., Loskot, P., Nepal, R., Parajuli, R., & Khadka, S. K. (2019). Mitigating the current energy crisis in Nepal with renewable energy sources. Renewable and Sustainable Energy Reviews, 116, 109388.
Proposal for Sustainable Development Goals .:. Sustainable Development Knowledge Platform. (n.d.). Retrieved 7 3, 2020, from Sustainable Development Knowledge Platform: http://sustainabledevelopment.un.org/focussdgs.html
Pulice, S. M. P., Branco, E. A., Gallardo, A. L. C. F., Roquetti, D. R., & Moretto, E. M. (2019). Evaluating monetary-based benefit-sharing as a mechanism to improve local human development and its importance for impact assessment of hydropower plants in Brazil. Journal of Environmental Assessment Policy and Management, 21(01), 1950003.
Rai, R. K., Bhatta, L. D., Dahal, B., Rai, B. S., & Wahid, S. M. (2019). Determining community preferences to manage conflicts in small hydropower projects in Nepal. Sustainable Water Resources Management, 5(3), 1103-1114. Retrieved 7 3, 2020, from https://link.springer.com/article/10.1007/s40899-018-0285-x
Scolozzi, R., Schirpke, U., Morri, E., D'amato, D., & Santolini, R. (2014). Ecosystem services-based SWOT analysis of protected areas for conservation strategies. Journal of Environmental Management, 146, 543-551. Retrieved 7 3, 2020, from https://sciencedirect.com/science/article/pii/s0301479714004241
Sen, A., Nepal, R., & Jamasb, T. (2018). Have model, will reform: assessing the outcomes of electricity reforms in non-OECD Asia. The Energy Journal, 39(4), 181-209. Retrieved 7 6, 2020, from http://dro.dur.ac.uk/24193
Shakya, S., Nepal, R., & Sharma, K. (2018). Electricity consumption and economic growth: empirical evidence from a resource-rich landlocked economy. International Journal of Global Energy Issues, 41, 226-247. Retrieved 7 3, 2020, from http://ecite.utas.edu.au/129844
Shem, C., Simsek, Y., Hutfilter, U. F., & Urmee, T. (2019). Potentials and opportunities for low carbon energy transition in Vietnam: A policy analysis. Energy Policy, 134, 110818.
Shrestha, R. S., Biggs, S., Justice, S., & Gurung, A. M. (2018). A Power Paradox: Growth of the Hydro Sector in Nepal. Hydro Nepal: Journal of Water, Energy and Environment, 23, 5-21. Retrieved 7 3, 2020, from https://nepjol.info/index.php/hn/article/view/20821/17098
Sovacool, B. K., Dhakal, S., Gippner, O., & Bambawale, M. J. (2013). Peeling the Energy Pickle: Expert Perceptions on Overcoming Nepal's Electricity Crisis. South Asia-journal of South Asian Studies, 36(4), 496-519. Retrieved 7 6, 2020, from http://sro.sussex.ac.uk/id/eprint/58342
Suhardiman, D., & Karki, E. (2019). Spatial politics and local alliances shaping Nepal hydropower. World Development, 122, 525-536. Retrieved 7 3, 2020, from https://sciencedirect.com/science/article/pii/s0305750x19301743
Sustainable Development Goals .:. Sustainable Development Knowledge Platform. (n.d.). Retrieved 7 6, 2020, from Division for Sustainable Development Goals, United Nations: http://sustainabledevelopment.un.org/?menu=1300
Timilsina, G. R. (2018). Regional electricity trade for hydropower development in South Asia. International Journal of Water Resources Development, 1-19. Retrieved 7 3, 2020, from https://tandfonline.com/doi/full/10.1080/07900627.2018.1515065
United Nations Millennium Development Goals. (n.d.). Retrieved 7 3, 2020, from United Nations: https://www.un.org/millenniumgoals/bkgd.shtml
Wang, C. (2012). A guide for local benefit sharing in hydropower projects. Retrieved 7 3, 2020, from https://openknowledge.worldbank.org/handle/10986/18366
Wang, X. (2017). Disclosable Version of the ISR - Nepal: Power Sector Reform and Sustainable Hydropower Development (PSRSHD) - P150066 - Sequence No: 05. Retrieved 7 3, 2020, from http://documents.worldbank.org/curated/pt/563361514467942958/disclosable-version-of-the-isr-nepal-power-sector-reform-and-sustainable-hydropower-development-psrshd-p150066-sequence-no-05
Worldometer (2020), Nepal Population (LIVE); https://www.worldometers.info/world-population/nepal-population/
Zhou, K. (2011). Himalayan Hydropower: Alternative Energy in Nepal. Harvard international review, 33(1), 8. Retrieved 7 3, 2020, from https://questia.com/library/journal/1g1-256711234/himalayan-hydropower-alternative-energy-in-nepal
How to Cite
Copyright (c) 2020 Birendra Rana
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
Author(s) retains full copyright of their article and grants non-exclusive publishing right to Advanced Journal of Social Science and its publisher “AIJR Publisher”. Author(s) can archive pre-print, post-print and published version/PDF to any open access, institutional repository, social media or personal website provided that Published source must be acknowledged with citation and link to publisher version.
Click here for more information on Copyright policy
Click here for more information on Licensing policy