ERC sets a limit on how much house owners can charge tenants for electricity

Published On: June 18, 2020 09:40 AM NPT By: Republica  | @RepublicaNepal


KATHMANDU, June 18:  In a bid to end the culture of house owners charging their tenants an exorbitant amount in electricity bills, the Electricity Regulatory Commission (ERC) has enforced a rule that a house owners can charge their tenants only up to the upper ceiling of electricity tariff fixed by Nepal Electricity Authority (NEA).

The ERC’s direction comes at a time when the NEA is struggling to end the malpractice. According to NEA, it has been receiving a large number of complaints on a regular basis that relate to house owners collecting extra money from their tenants. Addressing a public program last September, NEA’s Managing Director Kul Man Ghising had even warned those house owners of facing action if they are found charging in excess from their tenants. Despite the NEA’s caution, the wrong practice is still in place, impacting a large number of tenants.

The revised electricity tariff came into effect from last Monday. The regulatory body has asked NEA to make necessary preparations for implementing the new rule.

In addition, the commission has sought to allow tenants to use a separate measuring device by receiving approval from the NEA. The commission has asked the NEA to carry out a study and to submit a report on the possibility of allowing tenants to fix a meter or sub-meter for their purpose.

However, it will be a tough task for the NEA to enforce the rule at a time when the government is struggling to get the details of the house owners who have rented out their properties.


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