KATHMANDU: Nepal Electricity Authority (NEA) has earned a profit of Rs. 12.12 billion in the first six months of the current fiscal year 2021/22.
According to NEA’s unrefined financial statement, the profit of NEA has almost doubled in the first six months of the current fiscal year. It was Rs. 6.18 billion in the last fiscal year 2020/21.
The NEA, which had an annual loss of Rs. 8.89 billion in the fiscal year 2015/16, has been making a steady progress in the following years.
The managing director of NEA Kul Man Ghising said that the organisation has been able to earn significant profit this fiscal year due to control of electricity leakage, increase in electricity export to India, decrease in electricity import, increase in electricity sales and increase in other income of the institution.
“Reduction in operating costs, administrative and financial reforms, and the fact that the 456-megawatt Upper Tamakoshi Power Purchase Rate was cheaper than other private sector projects also contributed to the increase in profits,” he said.
“Consumer tariff adjustments have been made with effect from the month of Poush, which may affect profits as incomes will decline slightly for the rest of the current fiscal year, but leakage control is still effective and we are working to cut profits by Rs. 15 billion by tightening financial discipline,” Ghising said.