The authority is adamant that it will not connect electricity until the 5.48 billion rupees dues for dedicated and trunk lines are paid. The industrialist says that he will not pay the dues until he provides proof of electricity consumption. Reliance Spinning Mills, which went to court, did not receive an interim order.
We use Google Cloud Translation Services. Google requires we provide the following disclaimer relating to use of this service:
This service may contain translations powered by Google. Google disclaims all warranties related to the translations, expressed or implied, including any warranties of accuracy, reliability, and any implied warranties of merchantability, fitness for a particular purpose, and noninfringement.
After the Nepal Electricity Authority cut off the power lines of 25 industries across the country for not paying additional premium fees after consuming electricity from dedicated feeders and trunk lines, 20 industries have completely shut down. Of the remaining 5 industries, 2 were already closed, while 2 have been connected to electricity after they started paying installments. Shivam Cement has continued production by running generators.
16,500 workers of 20 industries that were shut down after the power line was cut have lost their jobs. Their salaries and allowances are also uncertain. The NEA had cut off electricity to 19 industries on 4, 6 and 7 Kartik. The NEA cut off electricity saying that these industries had not paid the arrears of Rs 5.48 billion for dedicated feeder and trunk line. The NEA is adamant that the line will not be connected until the arrears are paid, while the industrialists say that they will not pay the arrears until the NEA provides proof of electricity consumption. The workers have been affected by the stance of both parties.
Among the industries that were cut off, Gharana Foods and Goenka Foods have already been connected to electricity after taking the installment facility, NEA spokesperson Rajan Dhakal said. “The electricity has already been cut off in the remaining industries,” he said. Among the industries that were cut off, Butwal Cement and Everest Paper Mill were already closed.
According to the authority, Jagdamba Steel
has the highest arrears of Rs 1.6 billion 18 million. Jagdamba Steel in Birgunj and Jagdamba Synthetic in Bhairahawa were closed due to power cuts, said Shankar Group Vice President Sulabh Agrawal. Jagdamba Steel has 2,200 employees, while Jagdamba Synthetic has 600 employees. Jagdamba Synthetic's arrears are Rs 205 million. 'We have put all the employees on leave now. We have not said anything about salaries and allowances,' Agrawal said. According to him, Jagdamba Steel has been producing 80,000 tons of steel per month and Synthetic has been producing 200 tons of yarn per month. 'If the authority provides proof of excess electricity consumption, we will pay the arrears,' Agrawal said, 'How can we pay the electricity bill that we have not used?' Reliance Spinning Mills
has arrears of Rs 753.6 million. The production of the industry located in Khanar, Sunsari, has been halted for a week. The industry, which employs more than 3,500 workers, was producing more than 100 tons of yarn per day.
The industry has been exporting yarn from Turkey to Japan. ‘The industry is not in a position to operate after the power outage,’ said industry manager Mahesh Pokharel, ‘All the workers are on leave.’ Exports have also been halted due to lack of production. According to the authority, Shivam Cement has an arrears of Rs 668.8 million. The industry officer Sushila Ghimire said that production is continuing by running a generator after the power outage. However, the daily production of clinker and cement has declined. This will also increase the cost of production, said Raghunandan Maru, the industry’s operations director.
Despite the line being cut, the employees and workers of the industry have been working regularly. Four hundred people have been directly employed in the industry. Maru claims that more than two thousand have been indirectly employed. Ghorahi Cement, which was closed after the power outage, has an arrears of Rs 508.5 million. 600 workers and employees have been unemployed after the industry was shut down.
Arghakhanchi Cement workers have been given indefinite leave after the power outage. The NEA cut off the power saying that the arrears of Rs 448.4 million were not paid. Arghakhanchi has been producing more than 60,000 bags of cement every day. Although the industry has a capacity to produce 3,500 tons of cement per day, it was operating at 65 percent capacity recently. The company's administration chief Ajay Bhattarai said that the industry was closed after the NEA cut off the power.
Sonapur Minerals and Oil has an arrears of Rs 243 million, according to the NEA. Sonapur had been producing 35,000 bags of cement per day. The industry is facing a loss of more than Rs 5 million per day due to the closure of the industry, said Hari Pathak, the executive chief of the industry. He said that 350 employees have been asked not to come to work until further notice after the closure of the industry.
Panchakanya Steel and Panchakanya Plastic Industries under the Panchakanya Group are also closed. Panchakanya Group General Manager Devendra Sahu said that electricity is being provided to the employees living in the quarters inside the industry by running a generator. Sahu said that the industry has so far paid salaries to 200 employees and provided them with necessary materials. Sahu claims that the 'log sheet' of the Butwal office of the NEA shows that the industry was facing load shedding problems at the same time as the trunk line was used. He said that they have no option but to fight a legal battle.
More than 200 workers are employed in SR Steel and SR Foods in Rupandehi. The industry has hired workers on a contract basis, said Suraj Upreti, the operator. "We ran the industry by paying money, getting discounts, and doing as the authority told us, and now it is a crime to try to recover money through the trunk line," he said.
Ghorahi Cement Factory
Dhankuta's Nigale Cement Industry, which has a daily production capacity of 6,000 bags of cement, had 150 employees. Saroj Sedhai, an employee of the industry, informed that the industry, which has a daily production capacity of 300 tons, has recently been producing only 150 tons. This industry is also closed.
Prasannaman Shrestha, the operations chief of Cosmos Cement in Dhanusha, said that 250 workers were left in the lurch when the industry was closed. Cosmos Cement produces Tej brand cement. According to the authority, Cosmos has an arrears of Rs 400 million. Everest Rolling Mills is also closed. This industry has 400 workers. After the power line of Himal Iron was cut, not only the industry but also the employees' quarters have gone dark.
Shyam Plastics operator Vivek Kasaudhan said that if the industry cannot be operated, only one month's salary can be paid to 130 workers. Triveni Spinning Mills Chairman Ramchandra Shanghai said that both industries have been closed because the employees do not come. Triveni Spinning Mills has 1,750 employees and Triveni Synthetic has 300 employees.
The NEA Board of Directors meeting held on 21 Baisakh 2082 under the chairmanship of the then Energy Minister Deepak Khadka had decided to issue a notice to the industrialists to file an appeal within a month by depositing a 5 percent deposit. An additional month was extended. On 22 Asoj, the NEA made public the notice that it had canceled all activities related to the administrative review.
Although it was agreed to pay the arrears gradually by depositing a 5 percent deposit with the government, the industrialists complain that Energy Minister Kulman Ghising suddenly reversed the government's decision. However, Shyam Kishore Yadav, coordinator of the Administrative Review Committee on Dedicated and Trunk Lines, said that the report was submitted accordingly as the members expressed their inability to do so, citing conflict of interest.
The commission formed under the leadership of former Justice Girish Chandra Lal had suggested that the tariff should be recalculated and collected after determining the date and period of electricity supply to the customers as per the standards at that time. The authority claims that the total arrears of tariff are Rs 6.6 billion. The authority says that since 60 days have passed as per the rules, 25 percent additional fee should also be paid. In this way, the arrears reach Rs 8.25 billion. This arrears amount is from 2072 Magh to 2075 Baisakh.
Meanwhile, the court has refused to issue an interim order on the writ filed by Reliance Spinning Mills, seeking to not implement the notice issued by the authority on 12 and 13 Asoj to pay the arrears. A single bench of Patan High Court Judge Surya Prasad Parajuli refused to issue an interim order on Tuesday. The next filing of the writ petition is scheduled for 19 Kartik.
The Authority had issued a notice on 12 Asoj to pay the dues by 17 Kartik, stating that all the activities related to the administrative review had been canceled. The notice mentioned that 28-month installment facility will be provided to industrialists who want to pay the dues. On 13 Asoj, the Authority had issued a notice correcting the previous notice and paying the dues by 2 Kartik.
