Solar Panel project financing options in Nepal 2026

Financing in the solar sector in Nepal has primarily come through grants and special funds. Commercial financing options for rooftop solar are still underdeveloped, with long payback periods. Delays in signing PPAs has created uncertainty and led to intermittent project commissioning.
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Fortunately, several financing options are available in Nepal, including loans from banks and microfinance institutions. Many of these institutions offer specialized loans at

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6 FAQs about [Solar Panel project financing options in Nepal 2026]

Is solar power a viable alternative source of energy in Nepal?

As an alternative source of energy, solar power is gaining popularity across the global as well as in Nepal. Although the major investments for electricity production has flowed towards hydropower projects in Nepal, investors in solar projects have increased in recent years.

How many solar projects are there in Nepal?

The Nepal Electricity Authority had previously entered into PPAs for 110.36 MW with 17 solar projects, out of which 85.26 megawatts are from the private sector, and 26 megawatts are from the authority, all connected to the national transmission line for solar energy.

How to promote solar PV in Nepal?

Solar PV comes into account in two major ways one, as cheap, green, and sustainable energy technology and another as diversifying the energy production in the country. The first and most reasonable approach for promoting solar in Nepal is to increase the domestic energy generation.

What types of financing does Nepal Bank offer?

• Financing rooftop solar projects. Here, the bank welcomes both CAPEX as well as financing under the RESCO model. • Financing utility-scale solar projects that sell energy to Nepal Electricity Authority. • SafaTempo and Electric Vehicles. • Green Home Loans for Green Buildings • Finally, the bank also prioritizes financing in Energy Efficiency.

Is solar PV a solution to energy insecurity in Nepal?

Hence depending nation’s majority of electrical sources on a single source is dangerous and can cause catastrophic energy blackout. Solar PV a globally recognized and in trend in later decades is a promising technology which could secure the energy insecurity of Nepal.

How can Nepal achieve a balanced energy mix?

Nepal is committed to achieving a balanced energy mix by emphasizing the use of Renewable Energy sources. NMB has taken an active role in supporting businesses involved in the Renewable Energy Sector, encompassing solar, biogas, micro-hydro, clean cook stoves, solar dryers, solar pumps, improved water mills , and electric vehicles.

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