Kathmandu, December 3

With a target to control leakage and reduce its overall loss, Nepal Electricity Authority (NEA) has expedited the process of signing performance contracts with the chiefs of provincial offices and project managers to reduce electricity leakage.

Earlier, NEA 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.

As a part of this campaign, Managing Director of NEA, Kul Man Ghising, today signed a performance agreement with Manoj Kumar Singh, head of the Province 2 office of NEA. During the programme, Singh also signed performance agreements with other district and regional heads to control leakage.

Earlier, NEA had inked performance agreements with the division and project chiefs of Biratnagar, Hetauda and Surkhet regional offices.

NEA expects the performance contracts to enhance output of its staffers and subsequently contribute in making NEA a financially strong institution.

Before Kul Man Ghising assumed office in fiscal 2015-16, electricity leakage at the Janakpur regional office had stood at 47 per cent, which has now dropped to 19.61 per cent. According to the performance pact signed today Janakpur provincial office will have to reduce electricity leakage to 10.97 per cent. As per NEA, of the total income generated from the sale of electricity, 23 per cent of income is received from Janakpur regional office.

As per the agreement, Yadukaha distribution centre of Dhanusha district has been given the highest target to reduce leakage — from 46.76 per cent to 25 per cent. Similarly, Kalaiya distribution centre of Bara district needs to reduce leakage from 44.70 per cent to 25 per cent and Lahan distribution centre of Siraha has to reduce leakage to 19.77 per cent from 44.18 per cent at present.

NEA has a target to reduce overall electricity leakage to 8.50 per cent in the ongoing fiscal year.

“We have a target to electrify all the households within three years and increase the per capita power consumption by 700 units by the next five years.

So, we need to change our working procedure,” Ghising said.

However, heads of various distribution centres have complained with the NEA management that they usually face undue political pressure while taking action against those involved in electricity theft.

As per NEA, it will provide cash incentives to chiefs of distribution centres if they are able to achieve at least 50 per cent of the target regarding loss reduction and outstanding due settlement.

The power utility has also stated that those who are able to meet the target will get the opportunity to attend training, seminar programmes abroad and add points that will help them get promotions.

However, if they are unable to meet the target, they will not be facilitated for those opportunities.