KATHMANDU: The longstanding tariff dispute between major industries and the Nepal Electricity Authority (NEA) over dedicated and trunk line services has taken a new turn. Sarbottam Cement, one of the major industries implicated, has initiated payment of its outstanding dues, marking a potential shift in the deadlock that has embroiled several prominent businesses and triggered widespread appeals to government authorities.
The decision comes after multiple industrial representatives approached Prime Minister KP Sharma Oli, claiming NEA’s recent power cut was an “unjust” measure and sought government intervention. Despite such appeals, Sarbottam Cement moved to comply with NEA’s installment plan for settling its dues, paying NPR 3.7 million as the first of 28 scheduled installments. The payment was made at NEA’s central office on Sunday, allowing the company’s power to be restored by evening.
An official from NEA confirmed, “Sarbottam Cement formally requested for reconnection on Friday and followed through by paying the first installment on Sunday. This allowed us to reconnect their power by 7 PM the same day.”
NEA recently cut power to 34 industries, including Sarbottam Cement, on October 24 after a prolonged period of unpaid dues from these firms. Sarbottam Cement now stands as the largest company to have complied with NEA’s payment terms, a stance that some other industries have also adopted in hopes of restoring service without further conflict.
Sarbottam Cement, now a public company led by chairman Bishnu Neupane of the Saurabh Group, has experienced a shift in approach since past stances, with Neupane previously vocal in his opposition to NEA’s handling of the tariff policies. On Sunday, he suggested a cooperative approach to resolving the issue, recommending to Energy Minister Deepak Khadka that NEA review individual data records for each industry to address specific concerns rather than generalizing the issue.
“Given the circumstances, I propose that each industry’s TOD meter data be reviewed individually to ensure accuracy in billing. We could even consider appointing a qualified chartered accountant to assist in the review process,” Neupane remarked during the industry’s press meet on Sunday.
Other industries have shown agreement with Neupane’s approach, proposing to cross-check data between the NEA and affected firms. A senior industry representative stated, “Energy data should be reviewed collaboratively, both by NEA and the industries, to resolve the discrepancies without delay.”
Additionally, the Federation of Nepalese Chambers of Commerce and Industry (FNCCI) has offered to mediate, advocating for a swift resolution to avoid further economic setbacks in the industrial sector.