NEA begins fresh initiative to collect long-disputed dues

The new leadership at the Nepal Electricity Authority (NEA) has launched a renewed effort to collect long standing disputed dues related to dedicated and trunk power lines. On Friday, the Authority issued a public notice calling on customers with outstanding dues to file appeals by June.

The NEA stated it aims to resolve the disputes—which have remained unresolved for nearly a decade—by addressing misunderstandings from a new perspective. The decision to move forward was made at a Board of Directors meeting on May 4. According to the NEA, total disputed dues now amount to Rs 23.44bn.

To facilitate dispute resolution, the NEA has amended Sub-regulation 2 of Regulation 55 under its 2021 Electricity Distribution Regulations. Under the revised provision, five percent of the billed amount can be submitted either in cash or via a Class A bank guarantee valid for one year.

The dispute began in 2016 after NEA introduced new tariffs for dedicated and trunk lines. In 2018, approximately nine months after load-shedding ended, NEA sent backdated bills covering two years and seven months. Industrialists contested the charges, arguing they had received trunk line facilities without formal notice and were billed as though load-shedding continued. Most only paid regular bills, rejecting the additional charges.

NEA regulations stipulate that customers seeking 20 hours of uninterrupted electricity via trunk lines during extended load-shedding must apply in advance, with service granted only after NEA Board approval. Customers are also required to provide Time-of-Day (TOD) meter data, which the NEA must verify.

To address the dispute, NEA formed a task force which submitted its findings. In 2019, the parliamentary Accounts Committee also intervened. A subcommittee recommended that the Commission for the Investigation of Abuse of Authority (CIAA) probe NEA officials for failing to enforce tariff regulations, leading to revenue losses. The subcommittee also urged NEA to implement provisions requiring payment within 35 days of billing or disconnection after 60 days of non-payment.

Multiple committees have since examined the issue. In 2024, a commission led by former Justice Girish Chandra Lal submitted a report directing the government to recover Rs 6.11bn in dues from Feb 2016 to May 2018. NEA’s notice mentions plans to collect this amount as well.

Former NEA Executive Director Kulman Ghising had also attempted to collect these arrears per the commission’s recommendations, but government intervention stalled the effort.

Karnali to invest Rs 940m in two major water projects

The Karnali provincial government is set to invest in two major drinking water projects aimed at addressing water shortages in the region. These projects, previously initiated in collaboration with the local and federal governments, will now receive a total investment of Rs 940m from the provincial government.

An agreement has been signed between the Federal Ministry of Drinking Water and the Provincial Ministry of Water Resources and Energy to co-invest in these projects. According to the agreement, the provincial government will allocate Rs 804.1m to the much-discussed Bheri Pumping Drinking Water Project in Birendranagar, and Rs 137.3m to another drinking water project in Sharda Municipality, Salyan. Altogether, the provincial government has committed Rs 941.4m over the next four fiscal years for both initiatives.

Both Birendranagar, the provincial capital, and Sharda Municipality, the district headquarters of Salyan, are currently facing an acute drinking water crisis. These projects aim to address that challenge. Chief Minister Yamalal Kandel confirmed that the government plans to complete and operationalize both projects within four years, ensuring a long-term solution to the growing water shortage. He emphasized the government’s comitment to timely implementation.

The agreement, signed on Tuesday, falls under the ‘Drinking Water Sectoral Governance and Infrastructure Support Project’ and outlines a cost-sharing partnership. The drinking water crisis in Birendranagar has worsened with rapid population growth. To tackle the issue, water from the Bheri River will be pumped into the valley. Initially, the federal government and Birendranagar Municipality managed the funding for this project. Now, the provincial government is joining the budget management effort.

The Bheri Pumping Project is estimated to cost Rs 6bn. In September, a contract worth Rs 3.58bn was signed with the Chinese company Xinjiang Times International Economy and Technical Cooperation for the first phase. The federal government will cover 80 percent of the cost, while the provincial government and Birendranagar Municipality will contribute the remaining 20 percent.

Meanwhile, in Salyan, a large-scale drinking water project is being implemented in Sharda Municipality to address similar shortages. The total cost of this project is projected at Rs 1bn. The provincial government will invest Rs 137.3m over four years, while Sharda Municipality has committed Rs 130m. According to Mayor Prakash Bhandari, the federal government will provide the remaining budget.

In the first phase of the Bheri project, two water intakes will be constructed approximately seven meters deep by diverting river flow. A water treatment plant will be built around 400 meters from the intake point. Additionally, a seven-kilometer pipeline will be laid to transport water to a main reserve tank at Amritdanda in Birendranagar-11. This tank will connect to a primary transmission line extending into Birendranagar.

The second phase will extend the transmission line along both sides of the Ratna Highway and the Surkhet-Jumla Road. Water from the Bheri River will be pumped to a treatment tank located at an elevation of 400 meters and then transported to the Amritdanda reserve tank via a seven-kilometer pipeline. A 550-millimeter-capacity pipe will be installed at Amritdanda to connect to the main tank. Three reserve tanks, each with a storage capacity of three million liters, will also be built at the site.

Over Rs 770 million royalty collected from mountaineering this spring

More than Rs 770 million has been collected from mountaineering royalty during the spring season this year, the Department of Tourism stated.

According to the Department's mountaineering division, by Sunday, a total of Rs 773. 58 million in royalties has been collected from mountaineering during the spring this year. 

A total of Rs 676. 92 million has been collected as mountaineering royalty towards Mt Everest alone.

Altogether 1,127 mountaineers, including 240 women and 887 men from 119 expeditions, have received climbing permits for 26 mountain peaks including the highest peak, Mt Everest.

Director of the Department, Liladhar Awasthi, said the highest number of climbers - 456 including 84 women and 372 men - from 45 expeditions have obtained climbing permits for Mt Everest. Climbers from 57 countries have come for the ascent on Mount Everest.

Similarly, 102 climbers of 10 expeditions have taken permit for climbing Mt Ama Dablam, 107 of nine expeditions for ascending Mt Lhotse, 79 of eight expeditions for climbing Mt Makalu, 75 of seven climbing groups for the ascent on Mt Kanchenjunga, 76 of six groups for climbing Mt Nuptse, and 66 mountaineers of six expeditions for ascending Mt Annapurna this spring season.

Spring is considered the suitable season for climbing the mountains, including Mount Everest.

Since the mountaineering permits are still being issued, the Department estimates that the number could increase further.

 

Nepal receives remittances over 1,191 billion in nine months

The inflow of remittance in the past nine months has reached Rs 1, 191. 31 billion.  This is the rise by 10 percent compared to the corresponding period last year that recorded the 17.2 percent rise in the remittance inflow in corresponding period previous fiscal year.

This year's rise in the USD terms is 7.3 percent.

"Remittance inflows increased 10.0 percent to Rs 1, 191.31 billion in the review period compared to an increase of 17.2 percent in the same period of the previous year. In the US Dollar terms, remittance inflows increased 7.3 percent to 8.74 billion in the review period compared to an increase of 15.2 percent in the same period of the previous year," the Nepal Rastra Bank (NRB) said in its report about Macroeconomic and Financial Situation of Nepal (Based on Nine Months Data Ending Mid-April 2024/25).

Similarly, net secondary income (net transfer) reached Rs 1, 301.94 billion in the review period compared to Rs 1, 174.54 billion in the same period of the previous year.

The number of Nepali workers, both institutional and individual, taking first-time approval for foreign employment stands at 358,222 and taking approval for renew entry stands at 249,652. In the previous year, such numbers were 327,842 and 211,226 respectively.