Abstract: Power generation, predominantly coming from run-of-river type hydropower plants, has fallen short of demand in Nepal. The shortage is acute during the dry post-monsoon months, when river flows are at their minimum. Huge amount of fossil fuel is used to generate power during shortages. Large hydroelectric projects are under construction, but many natural and man-made factors have delayed their construction by years. A survey of the measured wind speed, incoming solar radiation and river water discharge at various sites in Nepal has been done. Wind and solar energy potentials have been found to be high during the dry season, when hydropower generation is low. River flow, and consequently, the hydropower generation is high during the monsoon season, at which time wind speed and solar radiation are very low. With a well-planned transmission system, wind and solar power could compensate reduced hydropower generation during the seasons with low water flow in rivers. In the short term, installing wind and solar energy technologies- which have short gestation periods- is observed to be the right choice. Such a power system, with wind and solar power complementing hydroelectricity, has the potential to save capital and reduce carbon emissions for Nepal.