ABSTRACT
This chapter explores the contours of the Rural Energy Development Program (REDP), a scheme funded by a consortium of multilateral donors, including the World Bank, the United Nations Development Program (UNDP), and the government of Nepal to develop small-and medium-scale micro hydro energy units. The REDP installed small grid-connected hydro where relevant and micro hydro for villages off of the grid, and explores how it accomplished its goals. The chapter offers an in-depth exploration of what aspects of the REDP are replicable for other countries, exposing how many of the barriers facing grid-connected and off-grid hydroelectricity can be overcome. Most of Nepal's electricity generating capacity is concentrated near and serves Kathmandu, thermal electric stations operating on diesel near the city center and a collection of hydroelectric dams spread across the northern mountains. The story of small-scale hydroelectricity in Nepal started when international development donors ran pilot projects with local manufacturers to test the use of micro hydro units for mechanical agricultural processes.
