NEA Grid Automation: 7 Substations Go Live, Smart Grid Ready

NEA Grid Automation

5th December 2025, Kathmandu

NEA Grid Automation has reached a significant milestone as seven older grid substations operated by the Nepal Electricity Authority (NEA) have successfully transitioned to an automated system.

NEA Grid Automation 

This move is part of the NEA’s long-term strategy to modernize the country’s power infrastructure, transforming it into a more efficient, automated, and smart grid.

The automation project initially targeted 13 substations. Seven of these—specifically Panchkhal, Banepa, Patan, Lainchaur, Balaju, Chapali, and Bhaktapur—are now fully integrated and operational under the new automated control system. This transition represents a major step towards enhancing the stability and reliability of the national power system.

Centralized Control for Enhanced Efficiency

These newly automated substations are no longer operated locally. Instead, their operation is efficiently managed from a new, state-of-the-art control room established within the NEA’s building in Minbhawan.

A dedicated control center was constructed and commissioned specifically to facilitate the automated operation and control of these substations.

This centralization allows operators to supervise and manage the power flow across multiple locations from a single point, significantly improving response times and operational awareness.

Benefits of Full Automation

Executive Director Manoj Silwal of the NEA highlighted the numerous advantages of this full automation. He stated that the automated system will substantially reduce frequent power outages and make load management easier by utilizing real-time data.

Furthermore, automation is expected to lower operating and maintenance costs, decrease technical losses, and accelerate the development of a fully integrated smart grid.

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“Once the substations become fully automated, frequent power outages will be minimized. Real-time data will be used, making load management simpler, and operating costs will decrease. This is crucial for smart grid development,” Mr. Silwal affirmed.

The transition to automated operation also paves the way for a gradual shift to an unmanned physical state. Eventually, this means that personnel will not need to be physically stationed at the substations for routine operation, freeing up staff for other critical duties.

The Next Phase of Automation

The remaining six substations included in the initial phase—Syangja, Teku, Matatirtha, Chabahil, K3, and Lamasanghu—are scheduled to be integrated into the automated system within the next two months.

Once completed, the automated substations will be linked to the Load Dispatch Center (LDC) in Syuchatar through a Supervisory Control and Data Acquisition (SCADA) system. This comprehensive integration via SCADA will strengthen the operation of the entire power system, ensuring a more stable and robust national grid.

Project Funding and Future Outlook

The automation of these substations was made possible through a concessional loan obtained under the Power Transmission and Distribution Efficiency Enhancement Project, supported by the Asian Development Bank (ADB). The total cost of this specific project phase is estimated to be approximately NPR 610 million.

Looking ahead, work is currently underway to automate the remaining 64 grid substations across the country, also with the support of a concessional loan from the ADB.

The NEA has set an ambitious target to complete the automation of all remaining substations within the next 1.5 years. Achieving this goal will ensure that the entire national grid substation network is fully automated, cementing Nepal’s position for a modernized power infrastructure.

For more: NEA Grid Automation