In Nepal’s remote Himalayan villages, access to electricity has long been a challenge, hindering economic growth and quality of life. Through the United Nations Development Programme’s (UNDP) investment in micro-hydropower, communities that once lived without reliable power are now thriving. For residents like widow Pabitra Giri, electricity brought by the micro-hydropower plant in Kharbang, Baglung, has meant a transformation — enabling her children to study after dark and empowering her to start a small soap-making business through a women’s cooperative, securing a sustainable livelihood for her family.
Given Nepal’s rugged terrain and scattered settlements, extending the national power grid has always been difficult and expensive. Recognizing this, the Nepalese government and UNDP launched the Rural Energy Development Programme (REDP) to establish community-owned micro-hydropower plants (MHPs) as a cheaper and faster alternative to large-scale hydroelectric projects. These small-scale plants, producing a few kilowatts up to 100kW, became vital sources of energy for remote communities. Building on REDP’s success, the Renewable Energy for Rural Livelihoods (RERL) programme was introduced to maximize electricity’s potential for economic growth. With over $34 million in combined support from UNDP and the World Bank, more than 400 micro-hydropower plants were installed between 1998 and 2014, bringing electricity to over 100,000 households and enabling more than 1,000 rural enterprises.
The project’s impact goes beyond electricity generation — it fostered social inclusion, women’s empowerment, and community ownership. The transparent, participatory model encouraged local involvement and accountability, becoming a benchmark for similar initiatives across Nepal. In Kharbang, the 75kW Girindi Khola mini-grid now powers over 50 small businesses, from welding and repair shops to an ice cream parlour and cybercafé. Access to power has revolutionized health and education too: clinics now refrigerate vaccines, operate X-ray machines, and remain open after dark, while schools offer computer classes and a local FM radio connects the community.
UNDP’s continued partnership with the Alternative Energy Promotion Centre (AEPC) has strengthened Nepal’s renewable energy sector, ensuring technical expertise and policy innovation. To make MHPs more affordable, UNDP expanded grant support and subsidies, reducing the financial burden on rural families. This model has influenced national policy, inspiring further incentives for energy-based enterprises. For Nepal’s remote communities, these efforts have shown that electricity is more than light — it is a foundation for empowerment, opportunity, and sustainable development.
