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NEA warns defaulters as deadline to clear dues ends Sunday

Nepal Electricity Authority (NEA) once again warns the industries denying to clear dues of dedicated feeders and trunk lines to pay the amounts by Sunday or to face the electricity lines cut.
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By REPUBLICA

KATHMANDU, Oct 15: The extended deadline set by the Nepal Electricity Authority (NEA) for industries to clear their dues related to dedicated feeders and trunk lines ends this Sunday, but not a single defaulter has come forward to pay.



Last month, the state-owned power utility issued a public notice giving a 21-day deadline until October 19 for the concerned industries to settle their outstanding dues. NEA Spokesperson Rajan Dhakal said the NEA board has decided to recover all the dues owed under the headings of dedicated feeder and trunk line.


“None of the defaulters have appeared to pay their dues so far. The electricity lines will be disconnected if they fail to do so,” Dhakal said.


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Following Energy Minister Kulman Ghising’s directive to recover all pending dues, newly appointed NEA Executive Director Manoj Silwal has also pledged to implement the decision without delay.


Earlier, the NEA had announced an installment facility for industrialists, allowing them to pay their dues in 28 installments. According to Dhakal, Samrat Cement and Rolpa Cement have shown interest in paying partial amounts under this arrangement.


NEA records show that around Rs 8 billion remains unpaid by 49 industries using dedicated feeders and trunk lines. The authority has been struggling to recover these dues for more than a decade — since 2015.


In August 2015, the NEA introduced a premium tariff for factories using electricity through dedicated feeders and trunk lines, citing frequent power outages at the time. The decision required high-energy-consuming industries to pay additional fees.


Some industrialists later challenged the decision in court, but the court dismissed their case, directing them to pursue an administrative review process instead. Under that provision, industries were required to deposit 25 percent of the billed amount within 35 days of issuance before requesting a review.


However, the previous NEA leadership reduced the deposit requirement from 25 percent to 5 percent to ease the payment process. Following that decision, 46 industries filed applications seeking administrative review, but the process has come to a complete halt following the incidence of Gen Z movement. 

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