ABSTRACT
Development of Hydropower is so capital intensive, that Nepal, having a Hydropower potential of 83000 MW could not explore her potential more than 270 MW today due to financial constraints. As Nepal has constraint of its own financial resources for the development of Hydro power potential of Nepal, HMG/N announced the Hydropower development policy, 1992, to attract the private investors to invest in this power sector. Today about nine potential manufacturers are supplying good quality of micro and small Hydropower plants in Nepal at a very competetive rate. Thus, development of this small Hydropower sector has played a very positive role not only in partially solving the power shortage, but in the development of technical know how of the local people and creation of substantial job opportunities for them. Efforts made by HMG/N and independent/private power producers, only about 12% population of Nepal has got opportunity to be benefited from electrical power.
