Despite the Nepal Electricity Authority (NEA) exporting electricity to India in recent years, citing surplus production during the rainy season, industrialists in the Sunsari Morang Industrial Corridor report ongoing load shedding even during this period.
After completing the construction of the Dhalkebar-Inaruwa section of the Hetaunda-Dhalkebar-Inaruwa 400 KV transmission line in mid-June, the NEA claimed that electricity supply would improve in the eastern parts of the country.
Stating that the process of replacing the old conductor of the Inaruwa-Duhabi 132 KV transmission line with a high-capacity (HTLS) line had already begun, the NEA added that the power supply issue in the Sunsari Morang Industrial Corridor would be resolved soon.
However, industrialists in the area have complained that despite the increase in electricity production with the onset of the rainy season, load shedding continues to disrupt industrial operations.
The Sunsari Morang Industrial Corridor hosts around 500 large, medium, and small industries, with large industries, especially those in the iron and steel sector, consuming significant amounts of electricity. According to industrialists, unannounced load shedding currently lasts for 8 hours at night, severely impacting these industries.
Pawan Sharda, president of the Koshi Province Chapter of the Confederation of Nepalese Industries (CNI), highlighted that while production has decreased due to reduced economic activities, the unannounced load shedding has further hampered production and increased costs. He emphasized that unnecessary expenditures have also risen as a result.
The Confederation of Nepalese Industries, Koshi Province, recently sent a letter to the minister for industry, the chief minister, and the executive director of the NEA, urging them to improve the quality of electricity supply. The CNI also suggested that electricity should only be exported after meeting domestic demand.
Sharda questioned the reliability of the electricity supply, stating, "As soon as black clouds appear in the sky, the electricity supply stops. How long will this problem persist?" He noted that power outages occur even during rain or floods, and when a pole falls, the electricity can be interrupted for up to a week. Sharda stressed that industrialists will continue to face these issues until a quality distribution system is established.
Ramesh Rathi, director of Swastik Iron, suggested that it would be a relief if the government announced a load shedding schedule. He claimed that daily load shedding of 8 to 10 hours is causing losses of over Rs 10 million. The lack of a clear schedule for power cuts has also increased labor costs, as workers are left idle.
Rathi reported that indiscriminate power cuts have reduced the industry's production by 40 percent. He criticized the relevant agencies for remaining silent, even though the problem has persisted for 8 months. He suggested that providing electricity for 24 hours a day, 5 days a week, would minimize the damage to industries. Rathi also remarked that exporting electricity to other countries when domestic demand is unmet is akin to "begging by selling what you have."
Mahesh Pokharel, head of administration at Reliance Spinning Mills, stated that unannounced load shedding has severely affected industries that need to operate 24 hours a day. Reliance, which previously operated in three shifts, has now been forced to limit operations to two shifts. Pokharel reported that production has decreased by 35 percent, and 400 workers may face layoffs if the situation continues.
He expressed concern that workers in the discontinued shift will be directly affected by the lack of electricity, and emphasized that it would be better to first provide 24-hour electricity to domestic industries before exporting the surplus energy.
Ashutosh Yadav, head of accounts at Hulas Wire Industries, reported that they have faced 12 hours of unannounced load shedding daily. This industry, which was producing galvanized iron (GI) wire for export to India, has now halted production entirely due to the electricity shortage.
Despite these complaints, the NEA claims that there is no issue with power supply in the industrial corridor. Roshan Khadka, head of the Duhabi Grid at the NEA, stated, "There is no problem in the industrial corridor except when the distribution system is disrupted due to strong winds." He acknowledged that wind-related damage has occasionally interrupted the regular supply, but asserted that the current supply meets the demand.
Khadka explained that while there are some issues during rains, these are not due to permanent load shedding. The electricity demand in the Koshi region is 340 MW, and with increased level of water in rivers, electricity generation is at full capacity, ensuring that supply matches demand.
According to the NEA, electricity from Koshi, Kabeli Corridor, and Kushaha West is being managed in the eastern region, with 200 MW currently being supplied from the Kabeli Corridor. "Technical problems in power plants and transmission lines sometimes disrupt the balance of electricity demand and supply. However, we are working towards continuous supply in the industrial corridor as much as possible," Khadka noted.
Anupam Rathi, president of the Morang Industry and Trade Association, warned that the combined effects of the economic recession and electricity issues could lead to the closure of industries.