Government opens private sector access to transmission lines
Summary
The Electricity Regulatory Commission has for the first time fixed wheeling charges for private-sector access to Nepal’s national transmission grid, setting rates for both long-term and short-term open access. Officials say the move will boost electricity trading and investment, though some industry leaders warn the charges could make Nepali power less competitive.
Key Points
- The Electricity Regulatory Commission has set transmission charges for open access to the National Transmission Grid for the first time, including Rs. 412,755 per MW per month for long- and medium-term use and 57 paisa per kWh for short-term access.
- The new standards are meant to ensure non-discriminatory access to the electricity system and allow private-sector users to pay for use of transmission and distribution lines.
- Energy Minister Biraj Bhakta Shrestha called the decision a milestone that could encourage private investment and support an energy-based economy.
- NEA and private power producers welcomed the move, but warned that high charges could raise the cost of Nepali electricity and hurt competitiveness against Indian power.
