Whitewater adventurers kayaking through the stretch of Arun river that Arun- III project will affect.Arun III was a hydro-electric project in Nepal at the Arun River. In this project, 404 megawatts electricity was expected to be produced. However, the NGOs working here went against it. Criticism of the project included fear of increase of the already high electricity tariffs, environmental issues and if the size of the project was appropriate for a country of Nepal's size. There was also a debate for the road to the project area. Finally in 1995, the World Bank decided to withdraw their support effectively permanently cancelling the project.
As of 2014, the same project is in development. However, most of the electricity generated from this project is to be exported to the neighboring country India, despite Nepal facing critical power shortages. In addition, the Arun III which is being developed as a Run-of-River (ROR)does not address the serious shortage of electricity occurring only on dry seasons in Nepal.
- Ram S. Mahat, The Loss of Arun III, .