27th November 2024, Kathmandu
Nepal Electricity Authority (NEA) has announced that it will disconnect the electricity supply to industries with outstanding bills. This decision was made during the NEA Board’s meeting on Wednesday.
NEA Halts Power Cuts for Industries
Exploring Alternative Revenue Recovery Options
In addition to the disconnection decision, the NEA Board has agreed to explore alternative methods for recovering the overdue payments. This follows a directive from the Electricity Regulatory Commission (ERC), which advised NEA not to disconnect power lines and instead find other ways to recover unpaid dues. The ERC raised concerns about the potential for recurring issues and revenue loss if disconnections continue.
Past Practices and Recent Government Instructions
Historically, the NEA has severed electricity lines to industries with unpaid dues, especially those with trunk and dedicated lines. However, following a recent government directive, the NEA reconnected the power supply and set a 15-day deadline for industries to pay their overdue bills. The NEA had warned that if the dues were not cleared within this time, the power supply would be disconnected again.
Deadline for Payment Ends
The deadline for industries to settle their outstanding bills expired on Wednesday. The NEA had provided a final opportunity for industries to make payments before considering further action, including disconnections.
This decision is part of the NEA’s ongoing efforts to address the issue of unpaid electricity bills in Nepal’s industrial sector, with the authority now focusing on finding alternative methods to ensure financial stability for the electricity sector.
For more: NEA Halts Power Cuts for Industries
