Nepal plans seasonal electricity tariffs to reduce waste and boost consumption

The government of Nepal is preparing to implement a ‘seasonal tariff’ system to reduce electricity costs for consumers and industries during the rainy season. This initiative aims to address the issue of excess power generation during the monsoon, which currently results in billions of rupees in monthly losses for the Nepal Electricity Authority (NEA) due to wasted energy.

A committee led by Anshu Kiran Shahi is reviewing measures to provide subsidized rates during periods of surplus supply to boost domestic consumption. The government is also coordinating potential concessions for industrial users to mitigate the impact of electricity wastage.

In related energy developments, Energy Minister Biraj Bhakta Shrestha informed Parliament that Nepal earned Rs 29.32 billion from electricity exports to India and Bangladesh during the 2025/26 fiscal year. To improve domestic reliability, the ministry is expanding smart metering, substation automation, and upgrading transmission lines in major cities and industrial areas.