Regulator rejects industrial claim in dedicated power line fee dispute


Kathmandu: Nepal’s electricity regulator has ruled against industrial firms in the long-running dispute over electricity charges related to dedicated feeder and trunk line connections, concluding that the evidence presented by the companies was insufficient.

Following a hearing on Sunday between the state utility and representatives of the industries, the Electricity Regulatory Commission determined that the claims made by the companies could not be substantiated. Commission Chair Ram Prasad Dhital said the arguments and documentation submitted by the industries failed to justify their demand, making it impossible for the regulator to rule in their favour.

The decision specifically concerns two companies under the Panchakanya Group — Panchakanya Plastic and Panchakanya Steel — which had filed petitions challenging the electricity bills.

For years, industries using electricity through dedicated feeders and trunk line connections have disputed paying premium tariffs for power consumed during the period when Nepal was facing widespread load-shedding. Industrialists argued that the charges imposed by the Nepal Electricity Authority were unjustified.

With the latest ruling, the authority is now cleared to recover the outstanding dues from the two industries.

According to the utility, Panchakanya Plastic owes around Rs 2.463 million, while Panchakanya Steel has outstanding payments of Rs 5.219 million. Under an earlier agreement, the dues are to be paid in 28 instalments, and the companies have already deposited the first instalment. Panchakanya Plastic has paid Rs 77,975, while Panchakanya Steel Industries has paid Rs 186,405 as the initial payment.