Upper Arun Hydroelectric Projectमाथिल्लो अरुण जलविद्युत आयोजना
A 1,063 MW semi-reservoir (peaking run-of-river) project on the Arun River in Sankhuwasabha, developed by NEA subsidiary Upper Arun Hydroelectric Limited. The World Bank returned to the Arun basin after ~27 years to lead a ~USD 2 billion package with ADB and JICA. Financial closure stalled after India claimed development rights; the World Bank signalled in 2025 it is ready to proceed, and access-road construction is only now beginning.
Installed capacity
1,063 MW
Peaking run-of-river
River / basin
Arun
Koshi basin
Location
Sankhuwasabha
Koshi
Expected online
2031
Proposed / under development
Milestones & projected timeline
Key dates so far, with planned milestones marked. Future dates are targets from the developer or government and frequently shift.
- 2022
World Bank returns to Arun basin; NEA forms UAHEL
- 2024
World Bank board nod; access-road works begin
- 2025
Financing stalled over India's claim, then WB re-engages
- 2026Planned
Main construction targeted to begin
- 2031Planned
Targeted commissioning
Location
Approximate dam-area location on OpenStreetMap — precise to the district and river reach, not the exact structure.
Upper Arun Hydroelectric Project: key facts
Quick answers on capacity, river, developer, status and commissioning, drawn from the sourced data above.
What is the capacity of the Upper Arun Hydroelectric Project?+
The Upper Arun Hydroelectric Project has an installed capacity of 1,063 MW. It is a peaking run-of-river hydropower scheme.
Which river is the Upper Arun Hydroelectric Project on?+
The project is on the Arun River, part of Nepal's Koshi basin, in Sankhuwasabha district, Koshi Province.
Who is developing the Upper Arun Hydroelectric Project?+
The Upper Arun Hydroelectric Project is developed by Upper Arun Hydroelectric Limited (NEA subsidiary) (nea subsidiary), with World Bank (lead), ADB, JICA (~USD 2 billion package).
What is the status of the Upper Arun Hydroelectric Project?+
As of mid-2026 the project is proposed / under development. Semi-reservoir/peaking RoR; access-road works starting; financial closure pending; major civil works not started
When is the Upper Arun Hydroelectric Project expected to be commissioned?+
The Upper Arun Hydroelectric Project is expected to be commissioned around 2031, though dates for projects under development frequently shift.
Sources & data note
Figures for Upper Arun Hydroelectric Project are compiled from the sources below and cross-checked where possible. Status and projected dates reflect research as of mid-2026 and may change as the project progresses. The map location is an approximate dam-area estimate. Commentary is Amarnepal's own.