According to section 3.1 of the guideline of ‘Cross-border Trade of Electricity’, the cross-border transaction between India and the neighbouring countries will be approved by the Indian entity through an agreement.
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The Indian government has recently amended the ‘Guidelines for Import/Export (Cross Border) of Electricity- 2018’ where it said that two separate countries can trade electricity where India will take part through a tripartite agreement or giving approval.
At the joint steering committee meetings, the issue of electricity import from Nepal and Bhutan via India was discussed on December 3 and December 4 in Kathmandu, Nepal.
Already, a Memorandum of Understanding (MoU) was signed between Bangladesh and Nepal for the electricity import.