House sub-panel still undecided on dedicated feeder dues

Kathmandu, December 31

The House sub-committee of Public Accounts Committee (PAC) under the Federal Parliament has been unable to finalise its investigation report regarding the outstanding dues accrued by various industrial users of dedicated feeder and trunk line.

On May 10 last year, Nepal Electricity Authority (NEA) had forwarded a letter to more than 250 factories that have been availing additional electricity through the trunk line asking them to pay an amount of Rs five billion for the energy consumed by those industries since fiscal year 2016-17. Of the total outstanding amount of around Rs 10 billion up to fiscal 2018-19, the industrialists had paid Rs five billion to power utility.

As the factories refused to pay the remaining Rs five billion, NEA has threatened to slap a penalty on the principal amount — which would further hike the dues of the industrial users.

According to Bharat Kumar Sah, chairman of PAC, the sub-committee is yet to finalise the investigation report. “We have sought written documents from the Ministry of Energy, Water Resources and Irrigation regarding the matter. After the sub-committee receives the document, it will submit its report to the PAC and we will take a final call on the matter.”

On July 21, PAC had constituted a sub-committee on the issues relating to the collection of dues to be raised from such industries for the use of dedicated feeder and trunk line services of NEA. The sub-committee had been assigned to prepare the detailed report on the matter and submit it to the committee along with suggestions within a month. However, it has not done so till date.

Kul Man Ghising, managing director of NEA, informed the power utility is holding discussions with the House sub-committee for a possible way out. “The problem is not as acute as reported and we will follow the suggestions of the committee.”

The sub-committee headed by Minendra Rijal comprises Surya Pathak, Rajan KC, Tejulal Chaudhary, Parbati Bishankhe and Pradeep Yadav as its members.

The sub-committee has held consultations with NEA, industrialists and concerned stakeholders at least three times, but has been unable to come to any conclusion.

NEA, on May 6, had announced that industries being supplied electricity through the dedicated trunk line would be charged an extra 65 per cent fee for the electricity consumed. Immediately after the announcement, industrialists had also declared that they would not pay the additional fees.

While the industrialists had also knocked the doors of high courts in Patan and Butwal, both the high courts had decided in favour of NEA.

Earlier, NEA had decided to ensure dedicated and trunk line facilities (by charging Rs 22 per unit) to large cement industries based in Bhairahawa, Hetauda and Birgunj corridor during the load-shedding hours.