Budhiganga Hydropower Project aims at contributing to the social and economic development of Nepal through increasing electricity generation capacity of the country which will help to meet the load demand and reduce the load shedding by developing the Budhi Ganga Hydroelectric Power Project. The Project is a peaking run-of-river type that lies within the Achham and Bajura districts on the Budhi Ganga River, a major tributary to the Seti River and is located in the Far Western Development Region approximately 890 km west of the capital Kathmandu.
The Budhi Ganga Hydropower Project lies between 290 15' 30” and 290 18' 35" latitude North and between 810 14' and 810 17' 50" longitude East in Achham district in Far Western Development Region.
The project area experiences a sub-tropical to temperate climatic condition. The lower river valleys have a mostly sub-tropical climate with hot summers and cool winters.
The headworks of the Budhi Ganga Hydropower Project are located on the Budhi Ganga river in a narrow gorge below Rakse Khand. All major project structures are located on the left bank of the river.