KATHMANDU: Ujyalo Nepal Party Chair Kulman Ghising has criticised the government for imposing a 13 percent value-added tax (VAT) on electricity used for agricultural irrigation, drinking water and household purposes.
In a Facebook post on Friday, Ghising said it was unfortunate that the government had imposed additional tax on essential services instead of providing them with concessions.
Ghising recalled that electricity tariffs for irrigation had previously been reduced from Rs 7 to around Rs 2 per unit, while the tariff for community drinking-water lifting had been lowered from Rs 9 to Rs 4.20 per unit.
He also criticised the government for imposing additional tax on household electricity consumers at a time when the country is facing an LPG shortage.
Ghising argued that the government should instead encourage households to use induction cookers and make greater use of domestically generated electricity.
“Electricity produced in the country is being wasted while people have to queue for cooking gas,” he said, questioning the situation.
Ghising further urged the government to focus on recovering billions of rupees in outstanding dues from major industries under dedicated and trunk-line electricity arrangements rather than placing an additional tax burden on ordinary consumers and farmers.
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