Supreme Court Upholds Electricity Trade Agreement with India, Clarifies No External Monopoly
▸ Part of: Nepal to Boost Private Sector Role in Energy Production and Trade, Supreme Court Upholds India Trade Pact
The Supreme Court has upheld the long-term electricity trade agreement between Nepal and India, ruling that parliamentary approval is not required as it is a commercial and contractual document. The court clarified that the commitment to purchase electricity is a target without legal liability if Nepal cannot supply it and that selling electricity, a product of water resources, does not constitute sharing natural resources. A directive order was issued to the government to implement the agreement ensuring it aligns with national interests and does not adversely affect domestic consumption.
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