Biggest foreign investor sees huge potentiality in Nepal

-By a Post Reporter

KATHMANDU, Jan 13 - Hans O Bjontegard, Chairman of Statkraft, Nepal’s biggest foreign investor, sees huge potentiality in foreign investment environment in Nepal. Bjontegard is really impressed with the huge hydropower generation capability of the country, and sees many foreign investments coming to harness it.

Statkraft is the public utility company owned fully by the government of Norway. It currently generates over nine thousand mega watts of power through various companies in Norway. This production equivalents to one-third installation capacity of Norway. In addition, the company has been producing another 2 thousand mega watts of power in foreign companies in joint venture.

Chairman Bjontegard was recently in Nepal as a delegation member of his Foreign Minister Knut Vollebaek, who also opened Norway’s Embassy in Kathmandu. “We are delighted that political and economic relations between the two countries are prospering,” he told The Kathmandu Post Wednesday.

Statkraft has become the country’s largest foreign investor with the investment of 40 million US dollars, which makes up 80 percent of the equity share in Khimti Hydropower Project. The cost of the 60MW project is billed at  US$ 150 million. “Khimti is not only a big project for Nepal, we also consider it as a big project in our standards,” he added.

According to Chairman Bjontegard, Khimti project has been a big challenge. “We therefore, are very much eager to see it completed timely by June,” he said. He considers completion of Khimti as a very big milestone to have that happened.

He thinks Norway’s experience in hydropower could be very useful for the development of Nepal’s water resources.

“I think, you as a country has very interesting future. Not only our company but others can also invest in generation and transformation business of this country,” he added.

Norway’s development experiences in other infrastructures like railway, water supply, road etc. can also be utilized by Nepal. “I think some other companies from Norway would certainly be interested in transmission of electricity, the business grows as Nepal is exporting its power to other countries,” he added.

His company Statkraft would also be interested to invest in other lucrative projects in Nepal. “My people are studying the prospects in Nepal to continue our investment relations,” he announced. “Khimti will be a model for Nepal to attract more foreign companies. That is also a reason we are keen to make it a success,” he added.

Statkraft Chairman Hans O Bjontegard is educated as an engineer, studied in Norway and the USA. He worked with ESSO for seven years. Then he worked in a Norwegian industry for 30 years. He then became Executive Vice President at Norskhydro for ten years. Again he joined another Norwegian industry Dyno Industries as President and CEO.

The 65-year old gray-haired gentleman is currently president of Statkraft and several other companies in Norway.

When asked whether the twice bidding and ultimate decision of re-biding of Butwal Power Company has any bad impact on the investors of Norway, he said none. “Inter Kraft and Statkraft are two different companies of Norway and we have different approach of business in Nepal. However, we think the decision taken by the government regarding re-biding should have no negative impact among international investors,” he added.

Business people to mark Trade and Industry Day

-By a Post Reporter

KATHMANDU, Jan 13 - In line with various days that are observed on particular dates throughout the world, Federation of Nepalese Chambers of Commerce and Industry (FNCCI) is also learnt to have decided to observe Chaitra 28 in Bikram calendar, i.e. around March 10 as national Trade and Industry Day.

The decision to this effect was taken at a meeting participated in by executive committee members and past presidents of the federation. The day chosen as Trade and Industry Day is the date when FNCCI was formally registered with the government as the umbrella organization of all the industry and trade enterprises of the country on 1968.

However, the organization was in the existence since 1965 without being registered with the government.

Though the decision to mark Trade and Industry Day has not been made public by FNCCI, it is learnt that the objectives of the Day would be to recognize the effort of this sector in the development of the country, and also to show unity among the business people.

It is also learnt that FNCCI is planning to inaugurate its first Day this March by the King. In the first and subsequent years, it would organize various programmes countrywide, that would highlight the role of business and industry sector in the progress of the country.

FNCCI, the federal body of all the business enterprises of the kingdom has 79 district and municipality level chambers in 65 districts. There are 45 commodity and sectoral associations, 384 leading public and private sector undertakings and 8 bi-national chambers.

FNCCI plays a key role in promoting business and industry in the country. It provides, inter alia, information, and advisory, consultative, promotional and representative services to business and government.

Padma Jyoti renominated as Vice President of SAARC-Chamber

-By a Post Reporter

KATHMANDU, Jan 13 - President of Federation of Nepalese Chambers of Commerce and Industry (FNCCI) Pradeep Kumar Shrestha has renominated former president of FNCCI Padma Jyoti as vice president of the SAARC Chamber of Commerce and Industry, according to FNCCI.

Shrestha also formed an executive committee of SAARC-Chamber of Nepal Chapter nominating general assembly members for the year 2000-2001, it is said.

Nominated executive members of SAARC-Chamber include FNCCI-Employers’ Council chairman Rajendra Khetan, former vice president of FNCCI Chiranji Lal Agrawal, Suraj Vaidya of International Finance Relations Department of FNCCI and chairman of Tourism Committee of the FNCCI Shyam Sunder Lal Kakshapati.

Other general assembly members of the chamber comprises Hulash Chand Golchha, Dibya Mani Rajbhandari, Prithvi Bahadur Pandey and Prachand Bahadur Shrestha.

It was also informed that the newly nominated members of SAARC Chamber would participate in the Fourth SAARC Economic Assistance Programme to be held on January 16 in Male, the capital of Maldives, it is said.

Subhashree's 1st anniversary

KATHAMNDU, Jan 13 (PR)- Shubhashree Cooperative Finance Ltd held its first annual general meeting (AGM) here Wednesday.

Addressing the function its chairman Nagendra Sharma said that they had exceeded 200 per cent of their first year’s business target in a short span of just over a year.  Highlighting the main constraints facing by Cooperative movement in Nepal, he pointed out government’s apathy and lack of skilled manpower.

Besides, during its first year of operation, the Cooperative had been able to declare a dividend exceeding 5 percent, he said, adding,” we are aiming at doubling the amount of this percent of dividend to our share-holders by the next year.”

The chief guest Keshav Bahadur Thapa, Cooperative Development Officer, Dr Som Prasad Gauchan of Tribuvan University, Rabi Kiran Dhakal, Subhashree’s executive director and Manohar Shrestha also spoke on the occasion.

Apart from Cooperative finance, Subhashree has also opened a ten plus two school and is expected to open a Mahila-Sishu Swasthya Sahakari Society under its umbrella.

Pokhara proposed to be declared child labour free zone

-By a Post Reporter

KATHMANDU, Jan 13 - Chairman of the Federation of Nepalese Chambers of Commerce and Industry (FNCCI)-Employers’ Council Rajendra Khetan has stressed on the need to declare Pokhara as child labour free zone, reads an FNCCI press release issued today.

Khetan said this while addressing a function organized to make the Pokhara Valley as child labour free area in Pokhara recently. Though the child labour is prevalent in different parts of the world, Nepal should not lag behind in initiating process to make child labour free country,  Khetan said.

Though it is reported that child labour has been hired at some places of the kingdom, the problem could be addressed if we could eradicate poverty from the grassroots level, he added.

A meeting held in Pokhara also decided to coordinate with local administration and non- governmental organizations to further the process and send programmes for approval at the International Labour Organization (ILO) office, it is said.

At the function, Chairman of Kaski District Development Committee, Chief District Officer, police personnel, presidents of  Pokhara Chamber of Commerce and Industry and Lekhnath Chamber of Commerce and Industry and representatives from the municipalities were also present.

It was stated in the meeting that an agreement has been reached between FNCCI and the ILO to declare Pokhara as child labour free zone about seven months ago.

HCF develops Okhare Dhunga quarry

-By a Post Reporter

KATHMANDU, Jan 13 - Hetauda Cement Factory (HCF) in a bid to ensure the supply of quality limestone for producing cement, has started extracting the raw material from a new quarry, Okhare Dhunga.

The factory used to obtain limestone from Bhaise quarry, whose extract did not contain the required percentage of lime.

The lime content of the new quarry is about 46 percent, while that of Bhaise was 41.5 percent. For the manufacture of cement, the lime content must be at least 43 percent, said Radheshyam Chaurasia, Acting General Manager of the factory.

Prior to the extraction of limestone from Okhare Dhunga, the factory used to improve the quality of the raw material by mixing it with limestone from Annapurna quarry, Jogimara, informed Chaurasia at a press conference today.

He informed that with the factory operating at the current 60 percent production capacity of about 16,000 bags of cement per day, the limestone in Okhare Dhunga and Bhaise together is enough for the next 40 years.

He also informed that the company has already spent more than Rs 170 million for the development of the Okhare Dhunga quarry, which has still not come under full operation. The total investment in the quarry is expected to reach Rs 700 million, he said.

SHARES

Nepal Stock Exchange
Singhadurbar Plaza, Kathmandu

13 January, 2000

                 Trading Information                         Trading Price                              

Paid-up value of S. N. 9  is 57.

Paid-up value of S. N. 11 is 50.
Paid-up value of S. N. 16 is 60.
Paid-up value of S. N. 17 is 80.
NEPSE Index : 269.92 (1.21) Base : 12th.  Feb, 1994 = 100