Hydropower is the only feasible and rational solution in solving the energy crisis in case of Nepal. Hydropower is environment friendly and non polluting system of energy.

It has less direct impact on ecology and environment compared to the other energy sources like nuclear power. Moreover, water being recurrent in nature's streams, it is a renewable source of energy and causes no strain on non renewable sources of energy like fossil fuels which are not in abundance in Nepal, thus, reducing the dependency on them. As no fuel is used in production of the energy it is a cheap source of energy.This source not only assists environment but also the economy.

As no fuel is used and we also know that the prices of fossil fuels are raising very high so not much cost in made on the production of electricity. Other than that, no imports are needed to be made which saves money. The cost of this electricity is less than electricity produced from fossil fuels and nuclear power. The energy production value of the water doesn't deplete once it has been used meaning a number of cascade projects are feasible on the same river thus optimizing the energy yield given the suitability of terrain.Hydropower is efficient for peaking load system due to its efficiency in control.

The closing and running time of a hydropower plant is minutes compared to thermal or nuclear power which takes months to shut down or start. It is reliable. This is one of the hydropower that other renewable energy sources doesn’t have. Rainfall as the energy supply can always be predicted, unlike the case with wind energy. Hydro turbines can convert at least 95% of the energy into electricity, thus the system is very efficient Hydropower plants provide benefits in addition to clean electricity.Impoundment hydropower creates reservoirs that offer a variety of recreational opportunities, notably fishing, swimming, and boating.

Most hydropower installations are required to provide some public access to the reservoir to allow the public to take advantage of these opportunities. Other benefits may include water supply and flood control. Besides these advantages of Hydropower over other sources, it can also be used specially in Nepal to elevate the standards of targeted groups of people. If properly developed, hydropower can be a tool to improve nation's economy.