Industries start paying power dues

By A Staff Reporter,Kathmandu, Nov. 8: Large industries with outstanding electricity tariff arrears under dedicated and trunk lines have begun paying their dues, starting with the first installment payments.

According to the Nepal Electricity Authority (NEA), Triveni Synthetic Yarn Industries Pvt. Ltd., operating in the Bara-Parsa Industrial Corridor, paid the first installment of its premium tariff arrears for electricity consumed from dedicated and trunk lines during past load-shedding periods.

Following the payment, the electricity line of Triveni Synthetic, which had been disconnected on October 21, was reconnected on Thursday evening, said Manoj Silwal, Managing Director of NEA.

Triveni Synthetic has paid the first installment of the premium tariff for the use of dedicated and trunk lines from February 2016 to May 2018. 

The company has total arrears of Rs. 43.983 million, which have been divided into 28 installments. It paid the first installment of Rs. 1.571 million, said the NEA.

Similarly, Reliance Spinning Mills, operating in Sunsari, also cleared the first installment of its premium tariff arrears on Thursday. 

Reliance’s total arrears of Rs. 753.7 million have been split into 28 installments, with the first payment of Rs. 27.7 million made. 

Following the payment, electricity supply to the industries, which had been disconnected, was restored, said Silwal.

This move follows high-level discussions involving Prime Minister Sushila Karki, government officials, and the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) to resolve disputes regarding dedicated and trunk line tariffs.

A compromise proposal was discussed on Monday between Finance Minister Rameshore Khanal, Minister for Energy, Water Resources and Irrigation Kul Man Ghising, Minister for Industry, Commerce and Supplies Anil Sinha, Chief Secretary Eak Narayan Aryal, senior secretaries, and FNCCI President Chandra Prasad Dhakal, paving the way for installment payments.

According to the proposal made in the discussion, the industrialists will deposit an amount equivalent to one of the 28 instalments set by the NEA earlier. 

This payment will be treated not as an instalment but as a disputed deposit. Once the deposit is made, the power supplies that had been disconnected will be immediately restored.

After depositing the disputed amount, the concerned industrialists can proceed with a review process or pursue other legal remedies if necessary. 

Earlier, a dozen other industries that consume electricity through dedicated and trunk lines have already begun paying the first installments of their arrears to the NEA. 

The Panchakanya Plastic Industries, Panchakanya Steel Industries, Siddhartha Pet Plant and Shyam Plastic, Hulas Steel, Ashok Steel, Hama Iron and Steel, Samrat Cement, Rolpa Cement, and Nawa Nepal Plastic Industries have paid their first installment.

The Authority had recently disconnected the lines of 25 industries for non-payment, in line with its tariff collection regulations.

The NEA had issued a public notice on September 28, allowing industries to settle their outstanding amounts in 28 installments.