Nepal state firm to build $2.5-bn power project

A state-owned Nepali power firm will develop the Himalayan country’s biggest hydroelectric plant after the government scrapped a deal with a Chinese firm, an official said on Sunday. Nepal’s cabinet scrapped a $2.5 billion deal with China Gezhouba Group to build the Budhi Gangaki hydroelectric plant this month citing lapses in the award process. “The cabinet has decided to entrust the Nepal Electricity Authority to develop the plant,” Pushkar Dhungel, an aide to Deputy Prime Minister Kamal Thapa said. REUTERS