KATHMANDU, Aug 10: Managing Director of Nepal Electricity (NEA), Kulman Ghising, who has not been getting support from the government in the dedicated and trunk line dispute, has made his detailed work performance report public.

He claimed that the NEA has earned Rs 82 billion since he took over the leadership of the power utility. “The NEA, which had a deficit of Rs 34.61 billion eight years ago, has now accumulated a profit of Rs 47.41 billion,” he said during a press conference on Friday.

He was appointed as the MD of the NEA in mid-August 2016. His first term ended in August 2020. Eleven months later, he returned to lead the NEA once again.

In the Fiscal Year (FY) 2015/16, the NEA had a net loss of Rs 8.89 billion in that year alone. "The NEA, which started its impressive profit history with a net profit of Rs 1.50 billion in the FY 2016/17, reached a profit of Rs 13.31 billion in the last FY 2023/2024," he said.

He stated that, eight years ago, 3.72 billion units of electricity were consumed per year, but now electricity consumption has reached 10.23 billion units. Per capita energy consumption has increased from 131 units to 400 units, according to Ghising.

He was appointed as the MD of the NEA for the second time on Aug 9, 2021. He mentioned that the electrification rate, which was 89.7 percent three years ago, has now reached 99 percent.

He said that, despite the fact that the electricity tariff has been reduced three times by about 25 percent, the profit is still increasing. Out of approximately 5.9 million customers, around 2.2 million customers are paying only the minimum fee of Rs 30, effectively receiving free energy, Ghising said.

He claimed that after he took over the responsibility of the NEA’s MD for the second time, the NEA has achieved great success. "During three years, the authority has achieved great success in reducing technical and non-technical electricity leakage, increasing access to maximum customers, reducing financial expenses, increasing revenue, improving institutional governance to expand transmission and distribution lines and substations, and making profits," Ghising said.

Ghising said that the NEA has made a qualitative leap in     terms of transmission lines during the past eight years. “Significant progress has been achieved in the construction of transmission lines by overcoming challenges such as local obstacles, land acquisition, forest area land use and tree cutting approval, construction materials having to be transported by people, carts and helicopters to work in geographically extremely risky and difficult areas where there is no road. It has happened,” he said.

He said that the NEA has also achieved considerable success in controlling power-leakage. "Until eight years ago, the system experienced 25.78 percent of electricity leakage. The system's leakage was reduced to approximately 12.73 percent in the last fiscal year by adopting measures to control leakage in a more organized and effective manner,” he said, "Only through leakage control, the NEA has made an additional income of about Rs 12 billion per year during this period."

The total connected power capacity has reached 3,157 MW through the NEA's subsidiary companies and private sector power projects. Of that, 2,300 MW has been added in the last eight years and 1,706 MW in the last 3 years.

Ghising challenges industrialists to resolve electricity billing disputes legally

Nepal Electricity Authority (NEA) Managing Director Kulman Ghising has questioned why industrialists, dissatisfied with the billing for electricity supply through dedicated and trunk lines, have not pursued legal channels to resolve their disputes. Ghising said that the NEA has billed according to the law, with all relevant evidence properly documented.

Speaking at a press conference organized to mark the third anniversary of his second tenure on Friday, Ghising said, "We issued the discount bills based on legal provisions and supporting evidence. I have never claimed that there is no data from the TOD meters. We have provided proof whenever it was requested. If the billing was not satisfactory, the appropriate step would be to take the matter through the legal process. However, they did not do so, and only they know why."

The NEA submitted the evidence of the billing process to the Public Accounts Committee of the House of Representatives on Thursday. Despite the NEA sending bills to industries benefiting from dedicated and trunk lines on June 24, many industrialists were reluctant to pay the outstanding amounts. In contrast, industries with lower tariffs have been more prompt in settling their dues.

 
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