KATHMANDU, July 23: The Nepal Electricity Authority (NEA) finally agreed to reconnect the power supply of the manufacturers on condition that they clear dues within the next three months. The move comes amid undue pressure from Prime Minister KP Sharma Oli, who is against the NEA’s decision to cut the power supply.

The NEA board meeting held on Monday morning consented to reconnect electricity lines of six industries that have been refusing to settle dues of dedicated feeders and trunk lines that have remained pending since nine years ago. 

The NEA board however has forwarded the condition that the production plants concerned will have to clear the dues within next three months if the power supply lines are to be reconnected. “The NEA board is preparing a meeting minute in this regard,” said a board member of the NEA.

Last week, the state-owned power utility cut power supply lines of Arghakhachi Cement, Reliance Spinning Mills, Ghorahi Cement, Jagadamba Synthetic, Jagadamba Steel and Hulas Steel.

The issue of clearing bills of the dedicated feeders and trunk lines has come to stand still as the NEA is firm to recover the outstanding dues while the industrialists expressed their stance not to pay the amount showing various pretexts. According to the NEA, a total of 61 companies are left to pay Rs 6.60 billion for dedicated feeders and trunk lines, while these companies are supposed to pay a 25 percent fine in addition.

As per the dues fixed by the NEA, Jagadamba Steel is left to pay Rs 1.60 billion, Reliance Spinning Mills Rs 753.6 million, Arghakhachi Cement Rs 448.6 million, Jagadamba Synthetic Rs 205 million and Hulas Steel Rs 141.2 million. As the industries defaulted, the NEA disconnected the electricity lines of these manufacturers.  

However, the NEA faced pressure to take back the decision after the formation of a new government led by Oli. Intervening on this matter, Prime Minister Oli on Friday gave direct instruction to the NEA to reconnect the electricity lines of these companies. But the NEA decided not to reconnect the lines based on verbal instructions from the PM

As the NEA defied Prime Minister’s direction, the Electricity Regulatory Commission on Sunday wrote the NEA pressurizing the power utility to reconnect the electricity lines. Following the mounting pressures from the Prime Minister and the sector’s regulator the NEA has come up with the new decision.  

In the sessions of the House of Representatives on Sunday and Monday, Prime Minister Oli spared time explaining his view on the disputes between the industrialists and the NEA. “I have never mentioned that the industrialists must not have to pay the bills of the electricity they had used. I only meant to end the long stalemate through a dialogue,” he said. 

 
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