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Rural Energy Development Programme

The Rural Energy Development Programme of Nepal has introduced renewable energy services to isolated, rural communities in some of the most remote parts of the country. The Programme has been providing demand subsidies for the building of micro-hydropower installations, as well as installation of modern cooking stoves, in order to improve economic performance, health and quality of life. The initiative, driven by the central government, has been providing incentives for hydropower with budget subsidies, tax exemptions, and other financial instruments for supporting private demand, encouraging co-financing from donors, local governments, and communities.