India and Nepal have recently advanced their regional energy integration with a significant agreement to boost cross-border electricity exchange and expedite the development of transmission infrastructure. On October 29, 2025, in New Delhi, key agreements were signed between India’s POWERGRID and the Nepal Electricity Authority (NEA) to establish two joint venture entities tasked with constructing high-capacity 400 kV cross-border power transmission lines connecting Inaruwa (Nepal) to New Purnea (India) and Lamki (Dododhara) (Nepal) to Bareilly (India). These projects aim to facilitate faster, more reliable power trade, strengthen grid resilience, and enhance regional energy security. Furthering this cooperation, the 17th Joint Technical Team meeting held in Pokhara from November 3-4, 2025, reached a seven-point agreement focusing on electricity exchange expansion, transmission line construction, and project timelines, including the Butwal–Gorakhpur 400 kV line expected operational by May 2026. This strengthened partnership underscores India’s commitment to supporting Nepal’s hydropower potential and integrating clean energy resources for sustainable growth, reinforcing decades of diplomatic ties and positioning the two nations as key drivers of South Asian energy collaboration.