Kathmandu, Nepal — In a significant financial boost, the Nepalese government has successfully collected a staggering Rs 3.15 billion in royalty from various operational hydropower projects.
The Nepal Electricity Authority (NEA) has been diligent in its efforts, consistently collecting royalty payments while disbursing funds to power developers for the utilization of their power resources. This practice ensures a fair balance in the revenue distribution within the energy sector.
According to Chiranjivi Chataut, Director General of the Electricity Development Department, some power developers have been urged to promptly settle their outstanding dues, dating back to the fiscal year 2079/080 BS. Failure to comply with this request could result in charges, as stipulated by the NEA.
In a bid to uphold transparency and community welfare, the government has established a provision to allocate the collected royalty amount to affected communities at the local level. This move aims to empower and uplift these communities through the dividends of the hydropower projects operating in their vicinity.
During the fiscal year 2079/080, the Electricity Development Department reported a substantial revenue collection, totaling Rs 4.31 billion. This figure includes Rs 1.15 billion from license fees, Rs 8.7 million from penalties and confiscations, and Rs 4.2 million from arrears.
In the first six months of the current fiscal year, the Department has already amassed Rs 595.5 million in royalty and Rs 162.4 million from licensing, further contributing to the overall revenue stream. The government’s commitment to fiscal responsibility and effective resource management is evident in these impressive financial achievements.
As Nepal continues to harness its hydropower potential, the sustained collaboration between the government, power developers, and local communities becomes increasingly crucial for fostering economic growth and sustainable development in the nation.
