Kathmandu, August 13
Nepal Electricity Authority’s profits have risen by 149 per cent as the sate power utility raked in over Rs 7.2 billion in the last fiscal.
The state-owned company, which had always in been in the red, started making profits after the appointment of its Managing Director Kulman Ghising. This is the third year in a row that the company recorded profit.
Officials attribute the surge to the NEA’s move to control the pilferage of electricity. The utility has restricted leakages to around 5 per cent–the lowest figure in the company’s history.
In 2016, the year Ghising was appointed, the company recorded a loss of Rs 8.8 billion. However. Ghising during his first year in his office, implemented reforms that helped the NEA record a profit of Rs 1.4 billion. During his second year, NEA earned a profit of Rs 2.85 billion and this year it jumped to Rs 7.2 billion.
With this NEA’s accrued loss dropping to Rs 15.13 billion from Rs 34.61 billion in 2016. Experts have predicted that the NEA will start accruing profits in two years.
