IREDA had sought the investment to fund the development and implementation of the hydroelectric project in Nepal. The company had previously detailed its funding proposals in letters issued on July 16, 2024, and January 16, 2025.

Despite the setback, IREDA has announced its intention to reapply for the investment approval.

IREDA is a 'Navratna' Government of India Enterprise under the administrative control of Ministry of New and Renewable Energy (MNRE). IREDA is a Public Limited Government Company established as a Non-Banking Financial Institution in 1987 engaged in promoting, developing and extending financial assistance for setting up projects relating to new and renewable sources of energy and energy efficiency/conservation. As on December 2024, GoI held 75% stake in IREDA.

IREDA's standalone net profit jumped 27% to Rs 425 crore on 36% increase in revenue from operations to Rs 1,698 crore in Q3 FY25 over Q3 FY24.