Darchula Power Uses Digital PMIS to Accelerate Hydropower

Darchula Power IPO Approved

30th November 2025, Kathmandu 

Darchula Power Limited, a subsidiary of Api Power Company Limited, recently concluded its Annual General Meeting (AGM) on Mangsir 12.

Darchula Power IPO Approved

The meeting was a significant milestone, unanimously approving the company’s financial statements for FY 2081/82 and, crucially, endorsing the plan to issue an Initial Public Offering (IPO).

This decision signals confidence in the company’s ability to manage large-scale infrastructure projects efficiently. The 28.304 MW Mid-Chamelia Hydropower Project, currently under construction in Darchula with an estimated cost of Rs 5.66 billion, is not only progressing rapidly but is anticipated to be completed ahead of schedule.

This accelerated timeline is a powerful validation of the company’s commitment to modern resource handling and effective digital project management.

Technology as the Engine of Acceleration

The success cited by the directors—achieved through “efficient management, coordination, and resource handling”—is fundamentally rooted in the adoption of advanced technology.

Large-scale infrastructure projects like Mid-Chamelia rely heavily on centralized Project Management Information Systems (PMIS). A PMIS integrates all facets of the project, including:

Real-Time Progress Tracking: Using sensors, satellite imagery, and on-site digital reports to monitor physical progress against planned milestones instantly.

Supply Chain Optimization: Digitally tracking the inventory and movement of critical materials (like steel and cement) to prevent delays and minimize cost overruns.

Coordination Platforms: Providing a single digital source for all stakeholders—engineers, contractors, financiers, and management—to communicate and access up-to-date plans, streamlining decision-making.

This level of detail and control, facilitated by digital project management, is what allows the company to confidently predict an early completion, a rare achievement in Nepal’s infrastructure sector.

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Transparency Paves the Way for IPO

One of the most significant endorsements from the AGM was the approval of the Darchula Power IPO plan. The company has already partnered with Muktinath Capital for the issuance process and will increase its authorized and issued capital accordingly.

The shareholders praised the company’s transparency in financial management and cost control. This trust is essential for a successful IPO, especially in the hydropower sector, which has faced recent regulatory scrutiny over financial governance and project delays.

Digital Financial Reporting: The use of structured financial reporting systems and Enterprise Resource Planning (ERP) software ensures that financial statements are accurate, auditable, and easily reviewed by investors and regulators like the Securities Board of Nepal (SEBON).

Investor Confidence: Presenting a project that is ahead of schedule and boasts excellent digital transparency significantly boosts investor confidence. It assures the public that their investment will start generating returns sooner, mitigating the typical risks associated with long-term infrastructure construction.

The decision to issue the IPO during the construction phase, rather than after completion, is a crucial financial move that helps balance project debt and mobilize public funds earlier, reducing reliance on expensive bank loans.

Future Strategy and National Grid Contribution

The 28.304 MW run-of-river project, developed on the Chameliya River, will utilize two Francis turbines to generate an expected 185.62 Gigawatt-hours (GWh) of electricity annually.

Critically, 67.10 GWh of this power will be generated during the dry season, providing a much-needed boost to the national grid when power shortages are most acute.

Darchula Power’s effective utilization of digital project management methodologies serves as a model for other Independent Power Producers (IPPs) in Nepal.

By streamlining construction, ensuring financial discipline, and enhancing investor transparency ahead of its IPO, the company is contributing not only to energy security but also to the technological maturity of the entire Nepali infrastructure development cycle.

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