Nepal | July 09, 2020

NEA reduces power leakage to 9.78pc in H1

Himalayan News Service
Share Now:

Kathmandu, February 16

Nepal Electricity Authority (NEA) has said that it was able to reduce electricity leakage in its distribution system by 1.50 percentage points in the six months of ongoing fiscal year to 9.78 per cent.

NEA had earlier set a target to reduce electricity leakage from 11.28 per cent to 8.50 per cent of the total electricity supply in the current fiscal.

According to NEA, the 9.78 per cent electricity leakage figure is the lowest in NEA’s history.

The overall leakage in the NEA system had been brought down to 15.32 per cent from 25.78 per cent in last fiscal year. The power utility plans to decrease the overall loss to below 13 per cent in the ongoing fiscal year.

Kul Man Ghising, managing director of NEA, said the power utility earned additional Rs 10 billion with the reduction in the power leakage in its distribution system.

“We aim to reduce the electricity leakage to an average of five per cent in the overall NEA system within the next few years, at par with the average electricity leakage in the Europe region. However, we will try to lower the leakage even further if possible,” said Ghising.

At present, NEA loses 4.04 per cent of electricity through leakage in its transmission system and 9.78 per cent through its distribution system.

Since Ghising was appointed to the top post of the country’s only power utility company, NEA has started taking strict action against electricity theft and has become more stringent in collecting dues.

Moreover, NEA has installed high-capacity transformers, and upgraded the transmission and distribution system and substations to reduce electricity leakage.

In fiscal 2017-18, NEA was able to earn net profit of Rs one billion.

NEA had forecast it would earn net profit of Rs 10 billion in this fiscal, a target already met in the first half.

Last fiscal, NEA had earned operating profit worth Rs 10 billion.

Ghising said that it was possible to reduce the power leakage and earn profit due to the regular power supply by eliminating load-shedding, reduction in the average price of imported and domestic electricity, minimising administrative, technical and non-technical expenses and implementing financial reform measures.

“We have controlled electricity thefts, including hooking; tightened dues collection, enhanced the capacity of substations for distribution and promotion of three phase metres,” he said, explaining the recent achievements. “However, we need to carry out others reforms to make the institution more competitive and modernised.”

According to Hararaj Neupane, deputy managing director of NEA, the power utility has spent Rs 500 million to reduce the leakage through awareness programmes.

“We have to launch massive awareness programmes to achieve our goals.”

Earlier, NEA had signed a performance contract with the chiefs of all provincial offices and its line agencies to reduce electricity leakage.

The power utility had set some basic criteria to reduce its overall loss like leakage control, reducing administrative expenses, settling outstanding dues and increasing number of consumers, which have been included in the contracts.


A version of this article appears in print on February 17, 2020 of The Himalayan Times.


Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Chelsea close in on Champions League spot with 3-2 win at Palace

LONDON: Chelsea kept up their push for a top-four finish in the Premier League and Champions League football next season with a 3-2 victory at London rivals Crystal Palace on Tuesday thanks to goals from Olivier Giroud, Christian Pulisic and Tammy Abraham. The visitors took a two-goal lead i Read More...

Singh Durbar

New nuke law stipulates plan for disaster management

KATHMANDU, JULY 7 The Radioactive Materials Use and Regulation Act, 2020, recently authenticated by President Bidhya Devi Bhandari, requires the Government of Nepal to develop and implement a disaster preparedness and management plan at the national level to prevent and manage any disastrous impa Read More...

Furdiki Sherpa and Nima Doma Sherpa

Hit hard by pandemic, Sherpa widows face uphill battle

KATHMANDU, JULY 7 After conquering Mount Everest and shattering taboos, two Nepali Sherpa widows face a new challenge, the coronavirus pandemic, which has shut down all climbing and trekking activities rendering them jobless. Nima Doma Sherpa and Furdiki Sherpa made global headlines when t Read More...

Jewellery store burglary racket busted

KATHMANDU, JULY 7 Police have busted a racket of thieves, who were allegedly involved in burgling jewellery stores in Kathmandu valley, under the guise of scrap collectors. Those taken into custody for legal action have been identified as Ganga Bahadur Tamang aka Sumit, 37, and Junga Bahadur M Read More...

Isolation wards empty as COVID-19 cases stay put in quarantine

DHANGADI, JULY 7 Isolation wards that were set up to keep COVID-19 infected patients are mostly empty as most of the infected continue to stay in quarantine shelters in Sudurpaschim Province. As per data with Sudurpaschim Province Social Development Ministry, as of now, the total number of COV Read More...

Irrigation project elates farmers

NEPALGUNJ, JULY 7 Farmers in Banke were elated after Sikta Irrigation Project released water in the project’s western and eastern canals keeping in view the paddy plantation time this year. Man Bahadur Magar of Kamdi, Duduwa Rural Municipality, said he could plant paddy on time this year aft Read More...

Financial institutions, banks urged not to pile pressure for loan payment

POKHARA, JULY 7 Western Regional Hotel Association, Pokhara, has urged banks and financial institutions not to pile pressure for loan payment. Banks and financial institutions are pressing hotels and the tourism sector to pay back the loan and interest, on the ground that the fiscal year was d Read More...

Parliamentary committee probing irregularities

DHANGADI, JULY 7 The federal Parliament’s Agriculture, Cooperatives and Natural Resources Committee has started investigating alleged irregularities carried out in the name of scientific forest management. A team of the panel comprising Shanta Chaudhary, Satya Narayan Sharma Khanal and Raj B Read More...