KATHMANDU: The Nepal Electricity Authority (NEA) has reduced system electricity leakage, bringing it down to 12.73 percent in the last fiscal year.
According to details submitted to the Ministry of Energy, Water Resources, and Irrigation, this marks a substantial improvement from eight years ago when leakage stood at 25.78 percent.
In fiscal year 2022/23, electricity leakage was at 13.46 percent, which was further reduced to 12.73 percent in fiscal year 2023/24.
The Authority, emphasizing that reducing leakage translates to increased earnings, attributed the success to measures targeting unauthorized electricity theft and technical losses.
The NEA reported a net profit of Rs 14.46 billion last fiscal year, a sharp turnaround from fiscal year 2015/16, when it suffered a net loss of Rs 8.89 billion. Since then, NEA has maintained a consistent profit streak, achieving a cumulative profit of Rs 47.41 billion from a previous cumulative loss of Rs 34.61 billion.
Electrification across Nepal has also seen remarkable progress. In fiscal year 2015/16, only 58 percent of the population had access to electricity. This figure rose to 89.8 percent three years ago and has now reached 99 percent, marking a near-universal electrification achievement.
NEA Managing Director Kulman Ghising said NEA was focused on improving financial stability, ensuring good governance, and expanding electrification to reach every household.
Efforts have also been prioritized for strengthening transmission and distribution infrastructure to provide reliable, high-quality, and safe electricity.
Additionally, the NEA has been advancing large hydropower projects, boosting domestic electricity consumption, and exporting surplus electricity.
With the country now free from load shedding, the NEA has been expanding and automating its systems using advanced technology to tackle emerging challenges and deliver consistent electricity to consumers. The Authority’s performance has been validated by its “Double A Plus” credit rating from ICRA Nepal.
In the last fiscal year, Nepal achieved a milestone by transitioning from a net electricity importer to a net exporter.
During the rainy season, surplus electricity was exported to India, earning Rs 17.7 billion. Overall, electricity exports surpassed imports by approximately Rs 130 million, further solidifying Nepal’s position in regional energy markets.
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