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Bill proposes unbundling Electricity Authority

Nepal Electricity Authority

Kathmandu, September 3

The government has proposed splitting the Nepal Electricity Authority. The Electricity Bill recently drafted by the Ministry of Energy, Water Resources and Irrigation proposes that different bodies handle production, transmission, distribution and trade of power.

Currently, the authority will look after all phases of power production, processing and distribution.

The proposal to split the authority was brought to discussion for the first time a few years ago when the country was in power crisis. The government had established two companies to implement the proposal. However, the discussion faded away when the authority improved its management and solved the crisis. The staff of the authority had also protested the decision.

The new bill has proposed to split the authority within three years since the law comes into implementation. The authority shall hand over its property to the new bodies in two years after their establishment.

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