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NEA disconnects power supply to defaulting industries

Khabarhub

December 23, 2023

2 MIN READ

NEA disconnects power supply to defaulting industries

Nepal Electricity Authority/File photo.

KATHMANDU: The Nepal Electricity Authority (NEA) has severed power connections to several large-scale industries that have prolonged outstanding electricity tariff payments for dedicated and truck lines.

This action follows Prime Minister Pushpa Kamal Dahal ‘Prachanda’s directive to the NEA to disconnect power lines and recuperate overdue charges from these industries on Thursday.

Previously, NEA faced public backlash for discontinuing power supply to household consumers while exempting large-scale industries. Notably, Jagdamba Steel, Reliance Spinning Mills, Ghorahi Cement, and Arghakhanchi Cement industries are among those affected by the power cutoff, as confirmed by NEA.

According to NEA sources, Jagdamba alone owes a tariff of Rs. 4.14 billion. Similarly, Reliance has an outstanding amount of Rs. 1.09 billion, Ghorahi Cement owes Rs. 1.36 billion, and Arghakhanchi Cement has an overdue payment of Rs. 1.3 billion.

Despite repeated notifications, these industries have not settled their outstanding power tariffs with the NEA. The latest report from the Auditor General mandated NEA to recover these arrears. Additionally, parliamentary committees have directed an immediate hike in tariffs.

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