KATHMANDU:- The Millennium Challenge Corporation Nepal Compact has moved forward after a successful U.S. government foreign aid review. On Thursday, two major contracts were signed for the Electricity Transmission Project, a joint effort between Millennium Challenge Account Nepal and the U.S. government.

MCA-Nepal signed agreements with Angelique-Skipper Joint Venture for the Ratamate to New Damauli transmission line and Waiba-Salasar Joint Venture for the New Damauli to New Butwal transmission line. These contracts, worth 154.5 million US dollars, cover the design, installation, testing, and operation of a 180-kilometre, 400-kilovolt transmission line.

The signing took place at MCA-Nepal’s office, attended by officials from Nepal’s Ministry of Finance, Nepal Electricity Authority, MCC, and the U.S. Embassy. Khadga Bahadur Bisht, MCA-Nepal Executive Director, and representatives of the joint ventures signed the agreements.

John Wingle, MCC Deputy Vice President, said the contracts show U.S. support for Nepal’s development goals, improving electricity access and regional power trade. Ghanshyam Upadhyaya, Ministry of Finance Secretary and MCA-Nepal Board Chair, praised the U.S. aid and pledged ongoing government support, calling the agreements a symbol of U.S. commitment to Nepal’s progress.

Jason Meeks, U.S. Embassy Deputy Chief of Mission, said the partnership strengthens Nepal’s infrastructure and long-term growth. Bisht noted the shared commitment of the Nepal government and stakeholders.

The 697-million-dollar MCC Nepal Compact aims to boost private sector investment and economic growth through energy and road projects. It seeks to enhance infrastructure, cross-border energy trade, and Nepal’s transport network.