ELECTRICITYREGULATION,

2050(1993)
GovernmentofNepal,inexerciseofthepowerconferredbytheSection
40oftheElectricityAct,2049hasmadethefollowingrules.

CHAPTER 1

PRELIMINARY

ShortNameandCommencement:

(1) TheseRulesmaybecalledthe"ElectricityRegulation,2050".

(2) Itshallcomeintoforceatonce.

Definition:
InthisRegulation,Unlessthesubjectorcontextotherwiserequires:

(a) "Act"meanstheElectricityAct,2049".
(b) "Department of Electricity Development" means, the electricity
developmentdepartmentestablishedtoactastheelectricitydevelopment
unitundertheMinistryofEnergy pursuanttoSection36oftheAct.
(c) Secretary"meanstheSecretaryoftheMinistryofEnergy.
(d) "Survey"meanstheactofsurveyrelatingtotheproduction,transmission
or distribution of electricity and shall also denote the acts relating to
feasibility study, detailed engineering design and the works of
investigationregardingthereto.
(e) "Production, transmission and distribution of electricity" means the
construction, operation and maintenance of structures relating to the
production,transmissionanddistributionofelectricity.
(f) "Distribution Area" means the area mentioned in the license relating to
distributionofelectricity.
(g) "Wiring" means the installation of electrical device for the purpose of
supplyingofelectricitytothehouseandpremises,compound,factoryor
anyothersimilarplacesbelongingtotheconsumers.
(h) "Unit"meanstheelectricalenergytobeexpendedwithinonehourifone
thousandwattofelectricityisrun
(i) ("Energy Meter" means an equipment installed for the purpose of
showingtheunitsofelectricityconsumed.
(j) "Earting"meanstheworktoconnectthewiretakinginafixeddepthwith
the earth for the purpose of removing any danger to be occurred due to
electricityenergy.
(k) "Plant"meansthetotalformofequipments,materialsandsystemwhich
cause production, transmission, transformation or distribution of
electricity.

CHAPTER 2

PROVISIONSRELATINGTOTHELICENSE

3. InformationtobeProvided:

Anypersonorcorporatebodywhodesirestoconductsurvey,production,
transmission or distribution of hydroelectricity of the capacity ranging
from100to1,000kilowatt,shallhavetoprovideaninformationwiththe
following particulars to the Secretary through the Department of
Electricity Development in the format as prescribed in Sch4edule 1
pursuanttotheprovisoclauseofSection3oftheAct:

(a) Detaildescriptionoftheproject
(b) Mapoftheprojectsite(mainstructuresmustbeshown),
(c) Sourceofwaterandquantityofwatertobeutilized,
(d) Areawheretheelectricityistobedistributedandestimatednumber
ofconsumerstobeb3enefittedfromit,
(e) Whetherthewaterresourcestobeutilizedhasalreadybeenutilized
byotherornot,ifdonesogivetheparticularsofthesame,
(f) Othernecessarymatters.

4. ApplicationtobesubmittedtoobtainaLicensetoConductaSurvey
ofProductionofElectricity:

Any person or corporate body who desires to conduct a survey of

production of electricity shall have to submit an application in triplicate
stating the following particulars relating to the proposed electricity
productionprojecttotheSecretarythroughtheDepartmentofElectricity
DevelopmentintheformatasprescribedinSchedulre2:

(a) Map of the projectsite (in which preliminary sketch of the

proposed powerhouse, dam, reservoir, canal, tunnel, substation,
transmission line, and village, town, historical places, way etc.
insidetheprojectsitealsoshouldbeclearlyshown),
 (b) Areaofwaterresourcestobesurveyedandquantityofwaterbeto
utilized,
(c) Estimated amount of cost and time for the completion of project
(both thesurveyandconstruction),
(d) Totalcapacityoftheprojectandestimateofannualproduction,
(e) Incasetheelectricityistobeproducedthroughothermeansexcept
ofacquiringthefuelshouldbementioned.
(f) Othernecessarymatters.

5. ApplicationtobesubmittedtoobtainaLicensetoConductaSurvey
ofTransmissionofElectricity:

Any person or corporate body who desires to conduct a survey of

transmissionofelectricityshallhavetosubmitanapplicationintriplicate
stating the following particulars relating to the electricity transmission
project to the Secretary through the Department of Electricity
DevelopmentintheformatasprescribedinSchedule:3:

(a) Preliminary routemap of electricity transmission line (purposed

maintransmissionlineandalternativelinealsoshouldbeshown),
(b) Necessity,purposeandtotallengthofthetransmissionline,
(c) Standardandcapacityofvoltagetobeusedfortransmission,
(d) If the electricity is to be supplied at once Maximum load of
electricityandtypesofconsumers,
(e) Estimated amount of cost and time for the completion of
transmissionline(boththesurveyandconstruction),
(f) Othernecessarymatters.

6. ApplicationtobesubmittedtoobtainaLicensetoconductaSurvey
ofDistributionofElectricity:

Any person or corporate body, who desires to conduct a survey of

distributionofelectricity,shallhavetosubmitanapplicationintriplicate
stating the following particulars relating to the electricity distribution
project to the Secretary through the Department of Electricity
DevelopmentintheformatasprescribedinSchedule4:

(a) Mapofthedistributionarea(inwhichthegeographicaldescription
ofthesaidarea,presentdistributionsystemandpreliminarysketch
ofproposeddistributionsystemalsoshouldbeclearlyshown),

(b) Necessaryandpurposeofthedistributionsystem,
 (c) Estimatednumberandtypesofconsumerstobebenefitedfromthe
distributionsystem,
(d) Pointwheretheelectricityistobepurchasedoracquiredandother
particularsrelatingtosaleanddistribution,
(e) Estimated amount of cost and time for the completion of
constructionofdistributionline(boththesurveyandconstruction),
(f) Othernecessarymatters.

7. ExaminationofApplication:

(1) Thesecretaryby himselforthrough theDepartmentofElectricity

Development shall examine or cause to examine the application
received pursuant to Rules 4, 5 or 6 to see whether or not the
applicant has submitt4ed the necessary documents, particulars or
reporttobesubmittedundertheActandthisRegulation.

(2) While examining the application pursuant to subrule (1), if it is

found that the applicant has not submitted any documents,
particularsorreportwhichoughttohavebeensubmitted,anotice
shallbegiventotheapplicantwithinfifteendaysfromthedateof
submission of the application such documents, particulars or
report.

(3) In case the Department of Electricity Development gives notice

specifyingthetimelimittosubmitsomedocuments,particularsor
reports pursuant to subrule (2), the date, when such matter is
received,shallbedeemedasthedateofsubmissionofapplication
forthepurposeofsubsection(2)ofSection4oftheAct.

8. ToissueLicenseforSurvey:

The Secretary, after making necessary examination on the application

receivedpursuanttoRules4,5or6shallissuethelicensetotheapplicant
inaccordancewiththeformatasprescribedinSchedules5(A),5(B)or5
(C)respectivelyforthesurveyofproduction,transmissionordistribution
ofelectricity.

9. ToissueaLicenseforSurveyattheSameTime:

If any person or corporate body desiring to conduct a survey of

production,transmissionordistributionofelectricity relatingtoasingle
projectsubmitsapplicationstatingalltheparticularspursuanttoRules4,
5 or 6, the Secretary, subject to the other provisions of this Regulation,
 mayissuethelicensesatthesametimetosuchapplicantpermittinghim
to conduct the survey of production, transmission or distribution of
electricity.

10. SurveyReporttobesubmitted:

ThepersonorcorporatebodywhoobtainsalicensepursuanttoRules8
or 9 shall have to submit the report of survey in triplicate to the
DepartmentofElectricitydevelopmentwithinthirtydaysfromthedateof
completionofwork

11. LicenseforSurveynottobeIssuedinDuplicity:

In order to avoid duplicity in works no license shall be issued to any

person or corporate body for conducting a survey for the same work in
the same area for a period as specified in the license for survey issued
pursuanttoRules8or9.

12. Application to be Submitted to Obtain a License for Production of

Electricity:

Any person or corporate body who desires to produce electricity shall

havetosubmitanapplicationintriplicatestatingthefollowingparticulars
relating to the proposed electricity production project to the Secretary
through the Department of Electricity Development in the format as
prescribedinSchedule6:

(a) Detail description of the project (including a map of the project

site,sourceofelectricitytobeproduced,estimatedcostandtimeto
completethe project, nameof partners in the projectandtypesof
theirassociation,fullnameandaddressofthepersonorcorporate
bodyanditsdirectorswithwhomtheownershipoftheprojectshall
bevestedatlast,shouldbeclearlyshown),

(b) Ifmineralfuelistobeusedtoproducetheelectricity,kindsoffuel,
method of its supply and its storage system should be shownand
agreement or letter of intension, if any and relating documents
theretoshouldbesubmitted,

(c) Analysis of feasibility (technical description together with the

detail map of the project and economic analysis, description of
clientsandconsumers,estimatedquantityofelectricitytobesold,
ifanytransmissionordistributionsystembelongingtootherperson
 or corporate body is to be used in supplying the electricity
descriptionofthesame),

(d) Modeoffinance(estimatedcostoftheproject,economiccondition
of the investors of the project, commitment of the financial
institutionstobeinvolveddirectlyintheproject,andpercentageof
liability,sharecapitalanddebtoftheinvestors),

(e) Acquisition or utilization of house and land (landowners'

description and total area of the public or private land to be
requiredfortheprojectforutilizationoracquisitiontemporarilyor
permanently),

(f) Analysis of environmental effect (measures to be taken to

minimizetheadverseaffectdueprojectonenvironment,socialand
economic effect of project on the said area, utilization of local
labour, source and materials,, benefits to be taken by the local
peopleafterthecompletionofthe project,trainingtobeprovided
for local people in relation to construction, maintenance and
operation, facilities to be required for construction site, safety
arrangements and effect on landowners due to operation of the
project, details of people to be evacuated and necessary plan for
theirrehabilitationalsoshouldclearlybeshown),

(g) Description regarding sale and purchase of electric power of the

project (agreement or letter of intension if any and related
documentstheretoalsoshouldbeenclosed),

(h) Descriptionrelatingtoproducedelectricitytransmissionlineofthe
project,

(i) Description relating to supply, transportation and storage of the

fuel (if there is any agreement or letter of intention and other
documentsrelatingtothesame,thecopyshouldbeenclosed),

(j) Othernecessarymatters.

13. Application to be submitted to obtain a license for Transmission of

Electricity:

Any person or corporate body, who desires to transmit the electricity,

shall have to submit an application in triplicate stating the following
particularsrelatingtotheproposedelectricitytransmissionprojecttothe
Secretary through the Department of Electricity Development in the
formatasprescribedinschedule7:

(a) Detail description of the project (source of electricity to be

transmitted,estimatedcostandtimetocompletetheproject,name
ofpartners in theprojectandtypesof theirassociation, full name
andaddressofthepersonorcorporatebodyanditsdirectorswith
whomtheownershipoftheprojectshallbevestedatlastshouldbe
clearlyshown),

(b) Routemapofthetransmissionlineandsubstationstoberequired
for transmission, rightoffway to be required and single line
diagram,

(c) Standardoftransmissionvoltage,transmissioncapacity,standard
ofconstruction,sizeofwireanditsdistancetoeachother,kindsof
polesandinsulationanddetailedmaprelatingtotheconstruction,

(d) Analysisoffeasibility(technicaldescriptionandeconomicanalysis
oftheproject,iftheelectricityistobesuppliedatoncedescription
of clients and consumers, estimated quantity of electricity to be
sold, and if any transmission or distribution system belonging to
other person or corporate body is to be used in supplying the
electricity,descriptionofthesame),

(e) Modeoffinance(estimatedcostoftheproject,economiccondition
of the investors of the project, commitment of the financial
institutionstobeinvolveddirectlyintheproject,andpercentageof
liability,sharecapitalanddebtoftheinvestors),

(f) Acquisition or utilization of house and land (landowners'

description and total area of the public or private land to be
requiredfortheprojectforutilizationoracquisitiontemporarily),

(g) Analysis of environmental effect (measures to be taken to

minimizetheadverseaffect due toprojectonenvironment,social
andeconomiceffectofprojectonthesaidarea,utilizationoflocal
labour, source, and materials, benefits to be taken by the local
peopleafterthecompletionofthe project,trainingtobeprovided
for local people in relation to construction, maintenance and
operation, facilities to be required for construction site, safety
arrangements and effect on landowners due to operation of the
 project, details of people to be evacuated and necessary plan for
theirrehabilitationalsoshouldbeclearlyshown),

(h) Description regarding sale and purchase of electric power of the

project(ifthereisanyagreementorletterofintentionandrelated
any other documents relating to the same the copy should be
enclosed),

(i) Mapshowingtheotherstructures relating toelectricitywithinthe

peripheryofoneandhalfkilometersofthetransmissionline.

(j) Othernecessarymatters.

14. Application to be submitted to obtain a License for Distribution of

Electricity:

Any person or corporate body, who desires to distribute the electricity,

shall have to submit an application in triplicate stating the following
particulars relating to the proposed electricity distribution project to the
Secretary through the Department of Electricity Development in the
formatasprescribedinSchedule8:

(a) Detail description of the project (source of electricity to be

distributed,estimatedcostandtimetocompletetheproject,name
ofpartners in theprojectandtypesof theirassociation, full name
andaddressofthepersonorcorporatebodyanditsdirectorswith
whomtheownershipoftheprojectshallbevestedatlastshouldbe
clearlyshown),

(b) Analysisoffeasibility(technicaldescriptionandeconomicanalysis
of the project, estimated quantity of electricity to be sold, and if
any transmission or distribution system belonging to other person
or corporate body is to be used in supplying the electricity
descriptionofthesame),

(c) Modeoffinance(estimatedcostoftheproject,economiccondition
of the investors of the project, commitment of the financial
institutionstobeinvolveddirectlyintheproject,andpercentageof
liability,sharecapitalanddebtoftheinvestors),

(d) Map of the distribution area (geographical description, present

distributionsystemanddistributionsystemtobenewlyconstructed
ofthatarea),
 (e) Standardofthedistributingvoltageandstandardofconstruction,

(f) Numberandtypesofconsumerstobebenefitedfromtheservice,

(g) Description regarding sale and purchase of electricity (if there is

any agreement of letter of intention and related any other
documents relating to the sale and purchase of electricity to be
distributed,thecopyshouldbeenclosed),

(h) Othernecessarymatters.

15. ExaminationofApplication:

(1) TheSecretarybyhimselforthroughtheDepartmentofElectricity
Development shall examine or cause to examine the application
seeking license for production, transmission or distribution of
electricityreceivedpursuanttorules12,13or14toseewhetheror
not the applicant has submitted the necessary documents,
particulars or report to be submitted under the Act and this
Regulation.

(2) While examining the application pursuant to subrule (1), if it is

found that the applicant has not submitted any documents,
particularsorreportwhichoughttohavebeensubmitted,anotice
shall be given to the applicant within 45 days from the date of
submissionoftheapplicationspecifyingareasonabletimelimitto
submitsuchdocuments,particularsorreport,

(3) in case the Department of Electricity Development gives notice

specifyingthetimelimittosubmitsomedocuments,particularsor
reports pursuant to subrule (2), the date, when such matters are
received,shallbedeemedasthedateofsubmissionofapplication
forthepurposeofsubsection(2)ofSection4oftheAct.

16. PublicNoticetobePublished:

(1) Onreceiptofapplicationseekingtoobtain license forproduction,

transmissionordistributionofelectricitypursuanttoRules12,13
or 14 the Department of Electricity Development shall, after
making necessary examination of application under Rule 15,
publish a notice stating the ne3cessary particulars for the
informationofgeneralpublic.
 (2) Any person may furnish his reaction stating reasons thereto the
Department of Electricity Development within 35 days from the
date of publication of notice pursuant to subrule (1), if the
constructionandoperationoftheproposedprojectislikelycausing
adverseaffect.

(3) If any reaction is received pursuant to subrule (2), upon

considering such reactions, the conditions which should be
followedbytheapplicantsshallbementionedinthelicense.

17. ToissueaLicense

the Secretary, after completing or causing to complete the procedures

pursuanttoRule15and16,ontheapplicationssubmittedforproduction,
transmissionordistributionofelectricitypursuanttoRules12,13and14,
shallissuethelicensetotheapplicantinaccordancewiththedemandof
applicantormakingnecessaryamendmentintheformatasprescribedin
Schedules9(A),9(B)or9(C)respectivelyforproduction,transmission
ordistributionofelectricity.

18. License might be issued for Production, Transmission and

DistributionofElectricityatthesameTime:

Ifanypersonorcorporatebodydesiringtoproduce,transmitordistribute
theelectricityrelatingtoasingleprojectsubmitsapplicationinonetime
statingalltheparticularspursuanttoRules12,13and14,theSecretary,
subjecttothe,otherprovisionsofthisRegulation,mayissuelicenseatthe
sametimetosuchapplicantpermitting him forproduction,transmission
anddistributionofelectricity.

19. LicensetobegivenforProduction,TransmissionandDistributionto
theLicenseeofSurvey:

If any person or corporate body who has obtained license of one or all
works forconductingsurveyofproduction,transmissionordistribution
of electricity pursuant to rule 8 or 9 submits an application stating the
particularspursuanttorules12,13and14fortheworksofconstruction,
operation and maintenance regarding production, transmission or
distributionofelectricitybasedonhisownsurveywithinthetimelimitof
the license, such license shall be issued to the applicant subject to the
otherprovisionsofthisRegulation.
20. RightonWaterResources:

Thelicensee,whohasobtainedlicenseforproductionofelectricity,shall
have the right to use the water resources for the works as mentioned in
the license to the extent of such place and quantity as specified in the
license.

21. TimeLimittoStarttheWorks:

(1) Thelicensee,whohasobtainedlicenseunderthisRegulation,shall
have to start the physical works within three months in case of
survey and one year in case of production, transmission or
distributionfromthedateofobtainingthelicenseandshallhaveto
informtheDepartmentofElectricityDevelopmentaboutthesame.

(2) Oncetheworksstartspursuanttosubrule(1),theprogressreport
of the work shall have to be furnished to the Department of
ElectricityDevelopmentateverysixmonthstillthecompletionof
thework.

22. NewLicensetobeobtained:

(1) anypersonorcorporatebodywhohasbeenundertakingtheworks
ofproduction,transmissionordistributionofelectricitypriortothe
commencement of the Act, shall have to give application stating
theparticularsasmentionedinRules12,13or14totheSecretary
through the Department of Electricity Development for obtaining
thelicensepursuanttosubsection(3)ofSection4oftheAct.

(2) The Secretary, either himself or through the Department of

Electricity Development, shall examine or cause to examine the
applicationsubmittedpursuanttosubrule(1)andissuethelicense
totheapplicantintheformatasprescribedinSchedule10:

23. PermissionforImportofElectricity:

(1) If the licensee, who has obtained for production transmission or

distribution in accordance with this Regulation, desires to import
the electricity into Nepal, he shall have to submit an application
together with the agreement made thereto to the Department of
Electricity Development to get the prior permission of His
Majesty'sGovernment.
 (2) The name of the country from where the electricity is to be
imported, standard of voltage of electricity to be imported,
quantity, area of transmission or distribution, period of importing
the electricity and other necessary matters shall have to be
mentioned in the application to be submitted pursuant to subrule
(1).

(3) Government of Nepal after making necessary examination, may,

upon receipt of the application pursuant to subrule (1), give its
permission to import the electricity either in accordance with the
demandoftheapplicantorwithrequiredamendment.

24. LicenseFee:

(1) Whilegivinganapplicationforobtainingthelicenseforsurveyin
accordance with this Regulation, and amount as prescribed in
Scheduled11shallhavetobepaid.
(2) Whilegivinganapplicationforobtainingalicenseforproduction,
transmission and distribution of electricity, the amount as
prescribedinSchedule11shallhavetobepaid.

25. ToRenewtheLicense:

(1) TheLicenseissuedinaccordancewiththeActandthisRegulation
shallhavetoberenewedoneyearbeforetheexpiryoftheperiodas
mentionedinthelicense.
(2) Whilerenewingalicensepursuanttosubsection(3)ofsection5of
theAct,anamountequaltotheamountasprescribedinSchedule
11shallbecharged.

26. CountingofUnit(Kilowatthour)forthePurposeofRoyalty:

While Counting the units (Kilowatt hour) for the purpose of royalty
pursuanttoSection11oftheAct,thequantityofelectricityusedforthe
operation of the powerhouse shall be deducted form the total electricity
producedfromthepowerhouseandremainingunitsshallbecounted.

27. ExportTax:

The export tax to be payable for exporting electricity, pursuant to sub

section (3) of Section 22 of the Act, shall be as determined in the
 agreement made with His Majesty's Government pursuant to subsection
(2)ofthesameSection.

CHAPTER3

MATTERSTOBEFOLLOWEDBYDISTRIBUTOR
ANDCONSUMERSOFELECTRICITY

28. ApplicationstobeSubmittedforInstallationElectricityLine:

(1) The Consumer, who desires to use electricity to be distributed by

thelicensee,shallhavetosubmitanapplicationtohisofficeinthe
formatasprescribedbyhim.

(2) On receipt of an application pursuant to subrule (1), the licensee

shallafterinspectionoftheWiring,ifdeemsproperfromtechnical
and safety point of view shall arrange necessary action to supply
electricity to the applicant. If the licensee deems wiring improper
heshellissueanoticetotheapplicantfortheimprovementofthe
wiring.

(3) Incaseofdisputearisingbetweenthelicenseeandtheconsumerin
connectionwiththeavailabilityofelectricitytotheconsumerafter
theinspectionpursuanttosubrule(2),theaffectedpartyshallhave
to give an application to the chief electricity Inspector. The
Inspectorbyconductinganinspectionuponsuchapplication, may
issuenecessaryorder.Itshallbethedutyofboththelicenseeand
theconsumertofollowsuchorder.

(4) Thelicenseebeforeissuingnoticeofgrantingelectricconnections,
shall make consultation with the person willing to be a consumer
regarding the service line and fix proper place for placing the
energymeter.

(5) Thelicensee,shallprovideacopyofthecostestimatetotheperson
willingtobeaconsumer,showingthepossibleexpenditureforthe
electricconnectionandanymaterialtobeinstalledonhisowncost.

(6) Theelectriclineshallbeconnectedonlyafterthepersonwillingto
be the consumer pays the cost along with the cost estimate as
 received pursuant to subrule (5) in the office of the licensee and
thelicenseeshallhavecontroloversuchelectricconnection.

29. TheLicenseshouldhavetoInstalltheEnergyMeter:

(1) Thelicenseeshallinstallenergymeteronhisownexpenseforthe
consumerto measuretheconsumptionof electricenergyand may
takesecuritymoneyasreasonableformeterinstalled.

(2) Incaseifelectricconnectionisnotinexistenceattheplaceofthe
consumer the security money as deposited by the consumer
pursuanttosubrule(1)shallberefundedtohim.

(3) Notwithstanding anything written in subrule (1), in special

circumstancesorifthepersonwillingtobeaspecialconsumerand
thelicenseemakemutualunderstandingforsimplicity,thelicensee
maysupplyelectricitywithoutinstallinganyenergymeter.

(4) The licensee, shall cause to inspect technically the energy meter
installedattheplaceoftheconsumerfromtimetotimeandifthe
energy meter is not inorderto generaloperation, heshallchange
thenewenergymeterwithoutanycharge.

However, the licensee shall install the energy meter realizing the
price of the energy meter from the consumer in case where the
energy meter has become out of order or has been stolen due to
faultornegligencedoneknowinglybuytheconsumer.

(5) Thelicenseeshallcausetheinspectionoftheenergymeterwithing
fifteen days in maximum if the consumer submits an application
statingthattheenergymeterisoutoforderorisrunningfasterthan
thenormalpace.

(6) Oninspectionifitisfoundtheenergymeter(isoutoforderor)is
running faster than the normal pace, the licensee shall have to
changeorrepairsuchenergymeteratfreeofcost.

(7) Accordingtotheclaimoftheconsumerifitisfoundtheconsumer
has suffered loss due to the energy meter being out of order or
runningfaster,thelicenseeshallcompensatethelossfromthedate
oftheapplicationsubmittedbytheconsumertotheproceedingone
month.
 (8) Thelicenseeshallissueacardtotheconsumerinwhichelectricity
consumption and the amount paid for it of each month is clearly
shown.

(9) The Licensee may affix necessary seal, as required, in the energy
meter installed in the house and premises of the consumer or in
othermaterialsinstalledforthepurposeofsupplyingelectricity.

(10) The seal affixed pursuant to subrule (9) should not be displaced,
destroyed or by any means damaged by any body other than the
licenseeorthepersonappointedbyhi.

(11) In case if a consumer wants to change the place of the energy

meter,whichhasalreadybeeninstalled,ttheconvenientplace,the
licenseebylevyingchargepursuanttoRule34,shallcauseittobe
changed.

(12) The consumer shall not, in any way, try to handle or damage the
serviceline,energymeter,cutoutorcircuitbreaker.

30. ToPreparetheDescriptionandIndexofConsumers:

(1) The licensee, Shall keep safety the description of the facts
regarding the supply of electricity to the consumers and such
descriptionshouldbeshowntotheInspectorifhewantstoseeitin
courseofhisenquiry.

(2) The licensee shall prepare a uptodate list of the consumers

enjoying the service and persons willing to be new consumers
withinitsareaofdistributionofelectricity.

31. NoLinetobeprovidedtoothers:

Theconsumershouldnotallowelectricconnectiontoother'shousefrom
hisownenergymeter.

32. Light Installation at Street or Public Place to be according to the

Agreement:
 Asregardstheexpensesfortheelectricitycharge,repairandmaintenance
ofthestreetlightsorlightsinstalledatpublicplaces,itshallbegoverned
bytheagreementreachedon this installationbetweentheconsumerand
thelicensee.

33. PayingofChargesandOtherFees:

(1) There shall be a liability to each consumer to pay the electricity

charge and other fees for enjoying the electricity service as
determinedbythetariffFixationCommissionconstitutedpursuant
toSection17oftheAct.

(2) The period to pay the charges pursuant to subrule (1) shall be a
fixedbythelicensee.Whilefixingsuchperiodtherebateshallbe
made clear for those consumers who pay the charges before the
fixedperiodandadditionalchargestothoseconsumerswhodonot
paychargeswithinthefixedperiod.

34. OtherCharges:

The licensee may charge other charges with addition the electricity
chargetotheconsumers for renderingtheelectricityservicepursuantto
subsection (2) of Section 16 of the Act for Rendering the following
services:

(a) Installingoftheelectricityline,

(b) Transferringoftheenergymeterfromoneplacetoanother,

(c) Reconnectingtheelectriclineafterdisconnection.

(d) Changingtheinsidefuseofmeterbox,

(e) Fittingofnewsealincaseitisbroken,

(f) Transferringoftheentitlementofconsumers,

(g) Testingofenergymeter,

(h) Makingavailableofconsumer'scard.

35. EnergyMetertobeInstalled:
 Thelicensee,whoproducestheelectricitymorethan1000kilowatt,shall
compulsorilyinstalltheenergymeter.

36. RegardingtheDesignandConstructionofElectricCircuit:

While designing and construction the electric line from electric

generationplantormainsubstationtothedistributiontransformerofthe
remotest location, it shall be done in such a way that the voltage to be
transformedfromthetransformershallbeproperandtheconsiderationbe
given to the loss of electric circuit and in the process of such
construction(ifneeded,thetappingavailableinthetransformer maybe
used).

37. InformationtobeProvidedinCaseofDanger:

In case when a danger exists from the electrical installation in the

consumer'shouseorpremisesorthereisapossibilitytohavedanger,the
consumershallinformtheofficeofthelicenseeassoonaspossible.

38. InspectionandMaintenanceofServiceConnection:

(1) Upon receipt of the information pursuant to Rule 37, the license
shall assign a technician immediately and cause to remove the
danger.

(2) WhetherornottheinformationisreceivedpursuanttoRule37,the
licensee shall cause to inspect and maintain the service line of
consumerintimetotimebyelectrictechnicianonsuchareawhere
the distribution is made by him and cause to maintain the safety
measures.

39. ServiceLinetobeReconnected:

If the consumer pays the charge fixed by the licensee, the service line
disconnectedpursuanttoclauses(c)and(d)ofSection19oftheActshall
bereconnected.
 CHAPTER4

VOLTAGE,FREQUENCYANDPOWERFACTOROF
ELECTRICITY

40. SupplyVoltage:

(1) The standard of supply voltage shall have to be maintained as

follows:

(a) 230voltinA.C.singlephaseand400voltinthreephasefor
generalconsumers.

(b) for those who want a supply of electricity from four wires,
the electric service shall be made available in 230/400 volt
fromA.C.threephases.

(2) The fluctuationshall notbeallowed fro morethan fivepercent in

standardvoltasmentionedinClauses(a)and(b)ofsubrule(1)

41. HighVoltageDistributionSystem:

(1) Thestandardofthevoltageinthehighvoltagedistributionsystem,
thestandardofdistributionsystemshallbemaintainedasfollows:

(a) 3,300volt
(b) 6,600volt
(c) 11,000volt
(d) 22,000volt
(e) 33,000volt

(2) The fluctuationshall notbeallowed for morethan fivepercent in

standardvoltasmentionedinClauses(a)to(e)ofsubrule(1)

42. HighVoltageTransmissionSystem:

(1) Thestandardofthevoltageoftheinthehighvoltagetransmission
systemshallbetransmittedasfollows:

(a) 3,3000volt
(b) 6,6000volt
(c) 1,32,000volt
 (d) 2,20,000volt
(e) 4,00,000volt

(2) The fluctuation shall not be allowed for more than ten percent in
standardvoltmentionedinClauses(a)to(e)ofsubrule(1)

43. Frequency:

(1) Thestandardofthefrequencyshallbemaintainedas50cyclesper
second(50hertz).

(2) The fluctuation shall not be allowed more than 2.5 percent in the
frequencystandardasmentionedinsubrule(1)

44. PowerFactor:

Thestandardofthepowerfactorshallhavetobemaintainedasfollow:

(a) The level of power factor of the electricity supplied to the

consumer shall not be allowed not less than 0.8 lagging and not
morethanoneunitleadings.

(b) The condensers or any other appropriate equipment shall be

managed for maintaining the standard of power factor in electric
transmissionanddistributionsystempursuanttoclause(a).

(c) The licensee may cause the consumer to install appropriate

condenseriftheconsumer'selectricityrelatedpowerfactorisnotat
thelevelmentionedinclause(a).

45. UnitofMeasurementofDifferentStandardofElectricity:

Following unit of measurement shall be maintained for measuring

differentstandardofelectricity.

(a) Milliampere,ampereorkiloampereforthemeasurementofelectric
current,
(b) Millivolt,voltorkilovoltforthemeasurementoffvoltage,
(c) Ohm,kiloohm,megaohmforthemeasurementofresistance,
(d) Henry,Millihenryorkilohenryforthemeasurementofinductance.
(e) Microfarad,millifaradorfaradforthemeasurementofcapacitance,
(f) Watt,kilowattormegawattforthemeasurementofpower,
 (g) kilowatt hour, megawatt hour for gigawatt hour for the
measurementofenergy.
(h) VA,KVAorMVAforthemeasurementofvoltampere,
(i) VAR,KVARorMVARforthemeasurementofreactivepower.

46. StandardtobeMaintained:

(1) The standard of the voltage, frequency or power factor of

electricity shall have to be maintained in accordance with this
chapterbythelicensee.
(2) Ifitisfoundthatstandardhasnotbeenmaintainedpursuanttosub
rule(1),the inspector,by taking intoaccounttheconditionofthe
plant of the licensee, shall allow necessary time to improve such
system and it shall be the duty of the licensee to correct the
electricitysystemwithintheprescribedtime.

47. IncreaseorDecreaseoftheLimitation:

GovernmentofNepalmay,bypublishinganotificationinNepalGazette,
mayincreaseordecreasethelimitationofvoltage,frequencyandpower
factor mentioned in this chapter by taking technical factors for the
avoidanceofdangerouseffects.

CHAPTER5

SAFETYMEASURESREGARDINGELECTRIC
DEVICES

48. MinimumDistancefromGroundtotheElectricWire:

(1) Distance between the electric wire of different volts of the

distribution and transmission system and the ground shall not be
lessthanasprescribedinSchedule12.
(2) Incasewhereelectriclineistobeinstalledbythesideoftheroad
oralong it, itshallbedonebyadoptingappropriatetechnological
measures.

(3) Ifitisnecessarytoinstallelectroniclineofmorethan33,000volts,
it shall have to be done by adding 0.305 meter for each 33,000
voltsonthedistanceasprescribedfor33,000voltsinSchedule12.
49. RegardingtheInstallationofElectricLineAcrosstheRoad:

Whileinstallingelectriclineofmorethan211,000voltacrosstheroadin
a densely populated area, the double insulator system shall have to be
used.

50. DistancetobeMaintainedoneithersideoftheElectricLine:

(1) While installing electric line of distribution and transmission

system,itshallnotbeinstalledinadistancelowerthanthedistance
asprescribedinSchedule13fromthehouseortree.
(2) Ifitisnecessarytoinstallelectriclineofmorethan33,000volt,it
shallhavetobedonebyadding0.305meterforeach33,000volts
onthedistanceasprescribedfor33,000voltsinSchecdule13.

51. DistancetobeMaintainedinbetweenthePoles.

While determining the distance in between the electric poles, it shall be

maintained with taking consideration upon last tensile strength factor of
safetyanddistancebetweengroundandwire.

52. NoElectricLinesshouldbecarriedoutfromaboveaHouse:

Noelectriclinesofanykindshallbecarriedoutfromaboveahouse.

Provided that the lines of upto 400/230 volt may be carried out from
aboveagarage,cottage(Tahara),orfenceandsuchelectriclinesshallbe
installed at a height which shall not be less than three metre from the
highestpointofsuchgaragecottageorfence.

53. In Relation to Installation of the Lines of Different Voltage in a

SinglePole:

(1) Whileinstallingelectriclinesofdifferentvoltagesonasinglepole,
the lineof higher voltagesshallbe installedaboveandthe lineof
lowvoltagebelow.

(2) While installing lines in a manner as mentioned in subrule (1),

carehastobetakenthatnoleakageordangerofanykindorcharge
shallexistfromhighvoltagelinetolowvoltageline.
 (3) It isnecessarythatadistancerequired fromthetechnicalpointof
view should be maintained between the lines of high voltage and
lowvoltage.

54. InRelationtoelectricLinestobeInstalledaroundAirport:

While installing electric lines around the airport, it shall be done

according to a decision arrived at by the discussion with the chief of
airportconcerned.

55. InRelationtoInstallationofElectricLinesandTelephoneLines:

Whileinstallingelectriclineneartothetelephonelinesorviceversa,the
licensee and the concerned office of telecommunication shall holed
discussionsbetweenthemand itshallbeinstalled insuchawaythatno
obstacleorchargeshallbemadetothetelephonelinefromthetechnical
pointofview.

56. SafetyfromLighting:

Thelicensee,shall,forthepurposeofsafetyfromanyharmfromlighting
or to ensure nonfluctuation s of electric energy provide protection
equipment against lighting or any appropriate device and a system for
earthingoflightingfromthoseshallalsobeprovided.

57. ChangeoverswitchtobeMaintained:

Eachperson,who installastandby generatingset forstandby use,shall,

in consultation with the licensee in that area, have to install a change
overswitch.

58. EarthingtobeDone:

(1) All kinds of metallic supports under high voltage system shall be
Permanentlyandeffectivelyearthenbyusingperpetualearthwire.

(2) Insulatorsshallhavetobeinstalledatnotnlessthanthreemetres
fromthegroundinthestaywiresusedinsupportsoftransmission
anddistributionsystem.
59. CutouttobeInstalled:

(1) The licensee shall have to install cutout or circuit breaker on the
energy meter withseal forthepurposeof safetyand load limitof
the energy meter installed in the house or premises of the
consumer.

(2) The consumer shall have to install an isolating switch nearby the
energymeter.

60. Earthing of Electric Devices to be used at the places of the

Consumer:

(1) Ifelectricapplianceslikewaterheater,airconditionerareinstalled
inthehouseoftheconsumer,provisionofearthingshallhavetobe
madeforsuchappliancesbysupplyingelectricitythroughseparate
appropriateelectriccircuit.

(2) ifelectricappliancesofdifferent metalsistobeusedinthehouse

orpremisesoftheconsumer,threepinplugsocketshallhavetobe
installedandsuchplugsocketshallhavetobeconnectedwiththe
earthingsystem.

(3) The earthing system installed in the house or premises of the

consumer shall have to be in accordance with the technically
propersystem.

61. SafetyofInternalWiring:

Wiringmethodandtheelectricdevicesinstalledforthesafetyofinternal
wiring of the consumer's house shall have to be in accordance with the
prevailingtechnicalstandard.

62. InsulatedWiretobeUse:

Insulated Wire shall have to be used when joining electric line to the
consumer'shouse.

63. ElectricLinetobeProvidedthroughPole:

(1) While installing a electric line to the consumer's house it shall be

doneonlythroughpole.
 (2) Notwithstanding anything written in subrule (1), while installing
electric line to the consumer's house, it shall be done only after
making provision of safety in accordance with the prevailing
technicalstandard.

64. DangerofLeakageat230/400Volt:

the insulation resistance of electric system of 230/400 volts and wiring

shallbeatleast5megaohm.

65. DangerofLeakageatHighVoltage:

(1) The insulation resistance of 3,300 volt electric system shall be at

least20megaohm.
(2) Whilecalculatingtheinsulationresistanceofmorethan3,300volt
electric system , it shall be done by adding 1 megaohm for each
1,000volton20megaohm.

(3) The operation of electric system without the insulation resistance

asmentionedinsubrule(1)and(2)shallnotbeallowed.

66. UtilizationofHouseandLandaroundtheConstructionSiteRelating
to Production, Transmission and Distribution of Electricity may be
Prohibited:

(1) Ifanyconstructionworkhasbeencarriedonrelatingtoproduction,
transmissionanddistribution ofelectricityforthepurposeofsub
section (3) of Section 33 of the Act, His Majesty's Government
may,bypublishinganotificationintheNepalGazettefromtimeto
timeprohibitintheutilizationofthehouseandlandattheplaceof
construction, or at the place falling within the specified distance
aroundtheconstructionsiteforanyspecifiedpurpose.

(2) Nooneshouldplanttreeorconstructhouseunderneaththeelectric
line installed for the purpose of transmission or distribution of
electricity or on either side of such line within the distance as
prescribedinSchedulre12and13.
67. StandardofElectricalDevicesandMethodofUse:

TheLicensee,shallhavetoabidebythefollowingmattersfromthepoint
ofviewofstandardandsafetyoftheelectricaldevicestobeusedinthe
worksofproduction,transmissionanddistributionoftheelectricity:

(a) Materialsanddevicesofhighstandardsshouldbeused

(b) When bringing into operation the new plant or after repairing the
old one, it should be operated after conducting all tests from the
technicalpointofviewandbeprovedproper,

(c) Theelectricwirestobeuseforanypurposeshouldbeofadequate
capacityrequiredforthatwork,

(d) Whilejoiningtheelectricwires,itshouldbejoinedinaccordance
withtherecognizedtechnicalstandardinsuchawaythatadanger
mightnotarise.

(e) The joint boxes of underground wire, metallic conduct joint and
joint of metallic sheets of the wire shall have to be installed on
such places that those joints could be easily accessible for
inspection.

(f) Fuses, circuit breaker or any appropriate device shall have to be

installed in such a way that if more current than the specified
current flow intheelectriccircuitorsubcircuit,they mightresist
the flow of current and there would not arise any danger. These
devices, while in operation, should be such that extra heat would
notbeProduced,nonsparkingandwouldofnodangeratthetime
ofchanging.

(g) Single phase switch is not allowed to be installed in the neutral

wireexceptonlivewire.
 CHAPTER6

SAFETYPROVISIONSRELATINGTOTHEELECTRICAL
WORKS

68. WarningIndicationBoard:

(1) ThelicenseeshallhangawarningindicationboardinNepaleseand
Englishlanguageonthefollowingdevicesandplaces:

(a) On motor, generator, transformer and other kinds of plants

and also on the equipments required to operate and control
them,

(b) On poles through which lines of more than 400 volts are
passingandonthelineboardwherethetubeforXrayhas
beeninstalledoronotherplantsofsuchhighfrequency.

(2) If warning indication board is not possible to be hanged on all

equipments mentioned in Clause (b) of subrule (1), it shall be
hanged at a place nearby or at entrance to the place where such
equipmentshavebeeninstalled.

69. ElectricitySupplytobeCutOff:

(1) Electricitysupplyshallhavetobecutoffifinspection,repairingor
any other important work relating to the equipments installed for
production,transmissionanddistributionistoconduct.
(2) Notwithstandinganythingwritteninsubrule(1),thereshallbeno
compulsiontocutofftheelectriclineifitispossibletoworkwith
fullsafetyfromthetechnicalpointofview.
(3) While reoperating the electric line after the completion of work
pursuant tosubrule(1), itshallbeoperatedonlyaftertaking full
careofthepossibledanger.

70. VoltageTestingandlineEarthing:

Whilecarryingtheworksofrepairingandmaintenanceofelectricline,it
shallbedoneonlyaftertestingthecurrentwithatesterandbeingsureof
voltagecutoff.
71. InsulatedGlovestobeUsed:

WhileWorkinginaplacehavinglivelineofelectricity,workshallhave
tobedoneonlybyusinginsulatedgloves.

72. NoticeforFirstAidwhenAffectedbyElectricCurrent:

(1) Proceduresrequiredtobe takenasa first aid measurewhenaffected

byelectriccurrentshallhavetobedisplayedatthelicensee'splantin
clearlyunderstandableNepaleselanguage.
(2) The owner of the electric plant shall compulsorily arrange training
required for first aid measures as mentioned in sub rule (1) to those
employees who work in operation, repair and maintenance of his
plant.

73. SafetyBelt:

Workersworkingatanyelevatedplaceorelectricpolesshallbeaskedto
workonlybyusingsafetybeltforprotection.

74. InformationofAccident:

(1) Thelicenseeshouldhavetosendadetaildescriptionofhappening
ofanyaccidentandamageinplanttotheInspectorintheformatas
prescribedinSchedule14.
(2) After receiving the details pursuant to subrule (1), the Inspector
mayinspectasrequiredtofindoutthecauseofsuchaccidentand
may give order to the licensee for arranging safety measures in
order to that such accidents should not be repeated from the
technicalpointofview.Itshallbethedutyofthelicenseetoobey
suchorder.
 CHAPTER7

PROVISIONRELATINGTOINSPECTIONAND
INVESTIGATION

75. ProvisionrelatingtoinspectorandEmployees:

(1) ForthepurposeofSection37oftheAct,GovernmentofNepal,as
required, may appoint Chief Electricity Inspector or other
ElectricityInspectors.
(2) Government of Nepal may appoint other employees to assist the
ChiefelectricityInspectorandElectricityInspectortotheirwork.

76. QualificationRequiredforInspector:

(1) Apersonhavinganexperienceoftenyearsatminimuminthefield
of electricity after holding a degree of Bachelor of Engineering
maybeappointedonthepostofChiefElectricityInspector.
(2) A person holding a degree of Bachelor of Engineering may be
appontedonthepostofElectricityIspector.

77. PoweroftheInspector:

(1) The Inspector appointed pursuant to Rule 75 may make examination

abouttheplantofthelicensee.
(2) Itshallbethedutyofthe licenseeorthe consumertoanswerallthe
questions asked by the Inspector in connection with the examination
pursuanttosubrule(1)andtocooperatehimasrequired.

78. InspectortobeDeputedtomakeExaminationofNewPlant:

The Chief Electricity Inspector by himself or any Inspector deputed by

himmaymakeexaminationofanewplantinstalledbyalicensee.

79. ExaminationoftheOperatingPlant:

Each licensee shall have to cause examination of his operating plant

everyyearandobtainacertificatethereto.

80. OrderoftheInspectortobeFollowed:
 (1) ThelicenseshallabidebytheorderissuedbytheInspectorunder
the Act and this Regulation in connection with the survey,
production,transmissionordistributionofElectricity.

(2) The Licensee, who does not satisfy with the order issued by the
Inspector pursuant to subrule (1), may file a complaint to the
SecretaryandtheorderissuedbytheSecretaryinthisregardshall
befinal.

81. ExaminationofImproperElectricalAppliancesorSystem:

The licensee, for the reoperation of the electrical devices or system

making in proper condition to which the inspector had decided as
improper after examination shall have to give an application to the
Inspector. The Inspector shall give permission to reoperate of the
electricaldevicessystemifproperafterexaminingsuchelectricaldevices
orsystem

82. ChargesforExamination:

A licenseeoraconsumer may,if thedeems necessarytocauseto make

examination of some thing in accordance with this Regulation, give an
applicationtotheChiefElectricityInspector.TheLicenseeorconsumer,
whilecausingexaminationso,shallhavetopaythechargeasprescribed
byGovernmentofNepal byanotificationpublishedintheNepalGazette.

Provided that if the examination of operating plant is caused by the

Inspector deputed by the Chief Electricity Inspector in connection with
hisregulardutynoexaminationchargeshallhavetobepaid.

83. NoticeoftheOutcomeofExamination:

The Inspector shall have to notify the concerned person if the

examinationshowthattheelectricequipmentsorsystemisfundinproper
conditionanditisnotfoundinproperconditionheshallhavetoissuea
writtenordertochangerepairorstopoperationofSuchElectricDevices
orplant.
 CHAPTER8

MISCELLANEOUS

84. Power to Fix Safety Conditions Regarding the Construction wroks

RelatingtoHydroelectricity:

Government of Nepal may, by publishing a notification in the Nepal

Gazette, Fix the Measures to be take while making design and
constructing dam, powerhouse and other structures required for
production of electricity and conditions for safety regarding the
constructionofpowerhousewithreservoir.

85. StatementtobeBroughttoKnowledge:

Prior to start the works of production, transmission or distribution of

electricity,thelicenseeshallhavetokeepinaconspicuousmannerinthis
office the copy of the license the map of the area of production,
transmission or distribution of electricity, relation to be maintained
betweenelectricityanddescriptionsstatingotherconditions.

86. ProvisionsRelatingtoResidenceandBonus:

(1) ForthepurposeofSection15oftheAct,thelicenseeshallhaveto
provide a residential quarter for the workers and employees
involved on the works of production, transmission or distribution
ofelectricity.

(2) The licensee shall have to distribute bonus to the workers and
employeeseveryyearsettingasidetheamountequaltotwopercent
oftheamountofnetprofit.
Provided that the bonus to be distributed shall not exceed the
amountequaltotheannualsalaryoftheconcernedemployees.

(3) Thelicensee,afterdistributingthebonusfromtheamountsetaside
pursuanttosubrule(1),shalldeposittheremainingamountinthe
fundsetupastheemployee'swelfarefund.

(4) The operation of the fund pursuant to subrule (3) shall be as

decidedbythelicensee.
 (5) Maters relating to bonus other than mentioned in this Regulation
shallberegulatedunderprevalentNepalLaw.

87. TobeCompensated:

(1) Government of Nepal or the licensee shall, if the landowners are

not allowed to possess their house and land situated at the
prescribeddistanceforthepurposeofsubsection(3)ofSection33
ofthe ActandRule66,paytheamountofcompensationat lump
sum to such land owners as determined by the compensation
fixationcommitteepursuanttoRule88.

(2) The compensation to be given pursuant to subrule (1) shall be

applicable only to the construction works relating to electricity
which are to be constructed after the commencement of this
regulating.

(3) Notwithstandinganythingwritteninsubrule(1)thecompensation
shallnotbepaidonthefollowingconditions:

(a) If the land is beneath the service line installed for the
purposeofsupplyingelectricitytothelandowner,or
(b) If houses are attached to each other in densely populated
urbanorruralareaandthemainlinepassesthroughthewall
ofonehousetoanotherhousewhileconnectingelectricline
fromonehousetoanotherhouse.

88. CompensationFixationCommittee:

(1) A compensation fixation committee shall be formed consisting of a

chairman and members as follows for the purpose of fixation of the
amountofcompensationtobepaidpursuanttoSection28and29of
theAct:

(a) ApersonasdesignatedbyHisMajesty'sGovernment
(b) A concerned person or a representative of corporate body
conducting survey, production, transmission or distribution of
electricitymember.
(c) An expert relating to the field of electricity as designated by
GovernmentofNepalmember.

(2) The followingpersonsalsoshallbe membersinthecommitteeas

prescribed by subrule (1) in order to fix the amount of
 compensationtobepaidpursuanttoSection32and33oftheAct
andRule87:

(a) Owner of the real estate who has sustained loss or his
representativeMember
(b) RepresentativeoftheconcernedLandRevenueOfficerelatingto
areaofthelossincurredrealestateMember
(c) Representative of the concerned Village Development Board or
Municipality relating to area of the loss incurred real estate
Member

(3) The compensation fixation committee pursuant to sub rule (1)

shall while fixing the amount of compensation have to adopt a
policyoffixingactualfigureofloss.

(4) The procedures relating to the meeting of the compensation

fixation committee may be determined by the said committee
itself.

89.AuthorityPrescribed:

TheSecretaryhasbeenprescribedastheauthorityforthepurposeofsub
section (5) of Section 4, Section 8 and subsection (1), (2) and (3) of
section38oftheAct.

90.StatementofAudit:

The licensee shall, maintaining the account of income and expenditure

while doing the works of production transmission or distribution of
electricity, submit the account of income and expenditure of each
financial year to the Department of Electricity Development within six
monthsofthenextfinancialyear.

91.AnnualReport:

(1) The licensee, after the commencement of works of the production,

transmission or distribution of electricity, shall have to sent an annual
reporteveryyeartotheDepartmentof ElectricityDevelopment.
(2) In the Report pursuant to subrule (1), the licensee, shall mention the
unitsof monthlygeneratedelectricityfromdifferentpowerhouses,the
distributedunitsshowingthecategoryofconsumers,internaluseofthe
 plant,leakage,loadandcapacity factor, maximumdemandofa month
andaspecimenofloadcurve.

92.UseofElectricSystem:

(1) The licensee may, if it is possible from the technical point of view,
supply the electricity produced by himself in any part of the Nepal to
theotherpointofthecountrythroughthepresentgridsystemandvice
versa.
(2) The person or corporate body, who has the ownership of the electric
systempursuanttosubrule(1),shallallowtousehisownsystemtothe
licenseeifitisreasonablefromthetechnicalpointofview.
(3) The licensee while supplying the electricity pursuant to subrule (1)
shallpaythechargeasdeterminedbymutualagreementtothepersonor
corporatebodytowhomthesaidelectricsystembelongsto.

93. Registration and Permission should be in accordance with the

PrevalentLaws:
While issuing a license under this Regulation for the works of survey,
production,transmissionanddistributionofelectricity,thelicenseshould
have been registered under the Industrial Enterprises Act, 2049 and
permission should have been taken in accordance with the foreign
Investment and Technology Transfer Act, 2049 in case foreign
investmentistobeinvolved.

94. ThisRegulationtobeApplied:

(1) Except the provisions relating to license all other provisions of this
Regulation shall be applicable to production or development of
electricitydevelopedpursuanttoSection34oftheActbyGovernment
ofNepal byitself.
(2) Except the provisions relating to license all other provisions of this
Regulation shall be applicable to any person or corporate body who
does the work of production, transmission or distribution of electricity
havingthecapacityofupto1000kilowatt.

95.ChangeandAmendmentinSchedule:

GovernmentofNepalmay,bypublishinganotificationinNepalGazette,
make any change or amendment, as required in the schedule of this
Regulation.
96.RepealingandSaving:

(1) ElectricityRules,2025hasbeenrepealed.
(2) The works done according to the Electricity Rules, 2025 shall be
deemedastohavebeendoneunderthisRegulation.
 Schedule 1
(RelatingtoRule3)
Relatingtoinformation

To,
TheSecretary
ThroughDepartmentofElectricityDevelopment
MinistryofEnergy

Sir,

IamprovidingthisinformationsinceIamgoingtoconductsurvey,production,
transmission or distribution of hydropower with a capacity of 100 to 1000
kilowatt with the following particulars pursuant to Rule 3 of the Electricity
Regulation,2050.

1. Full name and address of the person or corporate body willing for survey/
production/transmission/distribution/ofhydroelectricity:
2. Aimandpurposeofthesurvey/production/transmission /distributionof
hydroelectricity:
3. Area of the survey / production / transmission / distribution of
hydroelectricity:
(a) Zone
(b) District
(c) VillageDevelopmentCommittee/Municipality:

4. Capacity:
5. ParticularsrequiredbyRule3oftheElectricityRegulation,2050:

Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.

Sealofcorporatebody.

Signature of the person or Corporate
bodyProvidingtheinformation.
Signature:
Name:
Address:Date:
 Schedule 2
(RelatingtoRule4)
ApplicationfortheLicensetoconductSurveyforProductionof
Electricity
To,
TheSecretary
Through
DepartmentofElectricityDevelopment
MinistryofEnergy

Sir,

I am Submitting this application with the following particulars to conduct a

survey for production of electricity pursuant to Rule 4 of the Electricity
Regulation,2050.

1. Fullnameandaddressofthepersonorcorporatebodywillingfortoconduct
surveyforproductionofelectricity:
2. Typeofelectricitytobesurveyedforproduction:
3. Name of water resources if survey is to be conducted for production of
Hydroelectricity:
4. AreaofSurvey:
(a) Zone:
(b) District
(c) V.D.C./Municipality:
(d) Boundary:
East West
North South
5. NatureofSurvey:
6. Estimatedcostofsurvey:
(Justificationalsoshouldbegiven)
7. DurationofSurvey:
(From to(date)
8. Otherparticulars:
Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.
Sealofcorporatebody.
Applicant's
Signature:
Name:
Address:
Date:
 Schedule 3
(RelatingtoRule5)
ApplicationfortheLicensetoconductSurveyforTransmissionof
Electricity
To,
TheSecretary
Through
DepartmentofElectricityDevelopment
MinistryofEnergy

Sir,
I am Submitting this application with the following particulars to conduct a
survey of transmission of electricity pursuant to Rule 4 of the Electricity
Regulation,2050.
1. Fullnameandaddressofthepersonorcorporatebodywillingfortoconduct
surveyforTransmissionofelectricity:
2. Particularsoftheproject/placefromwheretheelectricitytobetransmittedis
tobeprovided:
3. Particularsrelatingtoplaceoftransmission:
From: To:
4. AreaofSurveyoftransmissionofelectricity:
(a) Zone:
(b) District
(c)V.D.C./Municipality:
(d) Boundary:
East West
North South
5.Voltageandquantityoftransmissionofelectiricity:
6. NatureofSurvey:
7. Estimatedcostofsurvey:
(Justificationalsoshouldbegiven)
8. DurationofSurvey:
(From to(date)
9. Otherparticulars:
Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.
Sealofcorporatebody.
Applicant's
Signature:
Name:
Address:
Date:
 Schedule 4
(RelatingtoRule6)
ApplicationfortheLicensetoconductSurveyforDistributionof
Electricity

To,
TheSecretary
Through
DepartmentofElectricityDevelopment
MinistryofEnergy

Sir,

I am Submitting this application with the following particulars to conduct a

survey for the Distribution of electricity pursuant to Rule 6 of the Electricity
Regulation,2050.

1. Fullnameandaddressofthepersonorcorporatebodywillingfortoconduct
surveyfordistributionofelectricity:
2. Descriptionoftheproject/placefromwheretheelectricitytobedistributedis
tobeprovided:
3. AreaofSurvey
(a) Zone:
(b) District
(c) V.D.C./Municipality:
(d) Boundary:
East West
North South
4. NatureofSurvey:
5. Estimatedcostofsurvey:
(Justificationalsoshouldbegiven)
6.DurationofSurvey:
(From to(date)
7.Otherparticulars:
Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.
Sealofcorporatebody.
Applicant's
Signature:
Name:
Address:
Date:
 Schedule 5(A)
(RelatingtoRule8)
LicenseforSurveyforproductionofElectricity

LicenseNo.

GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

licenseforproductionofelectricity,thislicensehasbeenherebyissuedtoyou
withthefollowingparticularsinaccordancewithsubsection(2)ofSection4of
theElectricityAct,2049andRule8oftheElectricityRegulation,2050.

1. Fullnameandaddressofthepersonorcorporatebodywillingfortoconduct
surveyforproductionofelectricity:
2. TypeofElectricitytobesurveyedforproduction:
3. NameofWaterresourcestobesurveyedforproductionofelectricity:
4. AreaofSurvey:
a. Zone:
b. District
c. V.D.C./Municipality:
d. Boundary:

East West
North South
6. NatureofSurvey:
7. Periodofvalidityofsurvey:
From to (date)
7.Otherconditions:

LicenseIssuingAuthority's
Signature:
Name:
Designation: Secretary
Address: MinistryofEnergy
Date:
 Schedule 5(B)
(RelatingtoRule8)
LicenseforSurveyforTransmissionofElectricity

LicenseNo.

GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

licensefortransmissionofelectricity,thislicensehasbeenherebyissuedtoyou
withthefollowingparticularsinaccordancewithsubsection(2)ofSection4of
theElectricityAct,2049andRule8oftheElectricityRegulation,2050.

1. Fullnameandaddressofthepersonorcorporatebodywillingfortoconduct
surveyfortransmissionofelectricity:
2. Particularsoftheproject/placefromwheretheelectricitytobetransmitted
istobeprovided:
3. Particularsrelatingtoplaceoftransmission:
4. AreaofSurvey:
(a) Zone:
(b) District
(c) V.D.C./Municipality:
(d) Boundary:

East West
North South
5. Voltageandquantityofelectricitytobetransmitted:
6. NatureofSurvey:
7. Periodofvalidityofsurvey:
From to
8.Otherconditions:

LicenseIssuingAuthority's
Signature:
Name:
Designation: Secretary
Address: MinistryofEnergy
Date:
 Schedule 5(C)
(RelatingtoRule8)
LicenseforSurveyforDistributionofElectricity

LicenseNo.

GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

licensefordistributionofelectricity,thislicensehasbeenherebyissuedtoyou
withthefollowingparticularsinaccordancewithsubsection(2)ofSection4of
theElectricityAct,2049andRule8oftheElectricityRegulation,2050.

1. Fullnameandaddressofthepersonorcorporatebodywillingfortoconduct
surveyfordistributionofelectricity:
2. Particularsoftheproject/placefromwheretheelectricitytobetransmittedis
tobeprovided:
3. AreaofSurvey:
(a) Zone:
(b) District
(c) V.D.C./Municipality:
(d) Boundary:

East West
North South
4. Voltageandquantityofelectricitytobetransmitted:
5. NatureofSurvey:
6. Periodofvalidityofsurveylicense:
From to
7.Otherconditions:

LicenseIssuingAuthority's
Signature:
Name:
Designation: Secretary
Address: MinistryofEnergy
Date:
 Schedule 6
(RelatingtoRule12)
ApplicationforObtainingaLicensefortheProductionof
Electricity
To,
TheSecretary
Through
DepartmentofElectricityDevelopment
MinistryofEnergy

Sir,

I am Submitting this application with the following particulars along with the
necessary documents for production of electricity pursuant to Section 4 of the
ElectricityAct,2049andRule12oftheElectricityRegulation,2050.

1. Nameandaddressofthepersonorcorporatebodywhoisgoingtoproduce
electricity:
2. Nameoftheprojectofelectricity:
3. Meanstoproduceelectricity:
4. Ifwaterresourcesistobeused:
(a) Nameoftheriver:
(b) Areawherewaterresourcesistobeutilized:
(i)Zone: (ii)District:
(iii)V.D.C./Municipality:
(iv)Boundary:
East West
North South
(c)Quantityofwatertobeutilized:
5. Descriptionofmainstructuresandwheretobelocated?:
6. Dateofcommencingthework:
7. Dateofcompleting thework:
8. Otherparticulars:
Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.

Sealofcorporatebody.
Applicant's
Signature:
Name:
Address:
Date:
 Schedule 7
(RelatingtoRule13)
ApplicationforObtainingaLicenseforTransmissionof
Electricity

To,
TheSecretary
Through
DepartmentofElectricityDevelopment
MinistryofEnergy

Sir,

I am Submitting this application with the following particulars along with the
necessarydocumentsfortransmissionofelectricitypursuanttoSection4ofthe
ElectricityAct,2049andRule13oftheElectricityRegulation,2050.

1. Nameandaddressofthepersonorcorporatebodywhoisgoingtotransmit
theelectricity:
2. Descriptionoftheproject/placefromwheretheelectricitytobetransmitted
istobeprovided:
3. Descriptionofthepointfromwheretheelectricityistobetransmittedand
destinationoftransmission:
(a)Zone:
(b)District:
(c)V.D.C./Municipality:

4. Quantityandvoltageofelectricitytobetransmitted:
5. Dateofcommencingthework:
6. Dateofcompletingthework:
7. Otherparticulars:
Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.

Sealofcorporatebody.
Applicant's
Signature:
Name:
Address:
Date:
 Schedule 8
(RelatingtoRule14)
ApplicationforObtainingaLicenseforDistributionof
Electricity

To,
TheSecretary
Through
DepartmentofElectricityDevelopment
MinistryofEnergy

Sir,

I am Submitting this application with the following particulars along with the
necessarydocumentsfordistributionofelectricitypursuanttoSection4ofthe
ElectricityAct,2049andRule14oftheElectricityRegulation,2050.

1. Nameandaddressofthepersonorcorporatebodywhoisgoingtodistribute
theelectricity:
2. Descriptionoftheproject/placefromwheretheelectricitytobedistributed
istobeprovided:
3. Quantityandvoltageofelectricitytobedistributed:
4. Areawheretheelectricityistobedistributed:

(a) Zone:
(b) District:
(c) V.D.C./Municipality:
(d) Boundary:
East West
North South
5. Dateofcommencingthework:
6. Dateofcompletingthework:
7. Otherparticulars:
Thefact mentionedabovearecorrectandtrue.IncaseififisfoundfalseI/we
am/arepreparedtobearaccordingtolaw.

Sealofcorporatebody.
Applicant's
Signature:
Name:
Address:
Date:
 Schedule 9(A)
(RelatingtoRule17)
LicenseforProductionofElectricity

LicenseNo.
GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

licenseforproductionofelectricity,thislicensehasbeenherebyissuedwiththe
conditionsasfollows:

1. Fullnameandaddressofthepersonorcorporatebodyobtainingthelicense:
Address:
2. Nameoftheprojectofelectricity:
3. Meanstoproducetheelectricity:
4. Itwaterresourcesistobeutilized:

(a) Nameoftheriver:
(b) Areawhereutilizationofwaterresourcesistobeprovided:
(i) Zone:
(ii) District:
(iii) V.D.C./Municipality:
(iv) Boundary:
East West
North South
(c)Quantityofwaterresourcestobeutilized:
5. Descriptionofmainstructuresandwheretobelocated?
6. Periodofvalidityoflicense:
7. Otherconditions:

LicenseIssuingAuthority's
Signature:
Name:
Designation: Secretary
Address: MinistryofEnergy
Date:
 Schedule 9(B)
(RelatingtoRule17)
LicenseforTransmissionofElectricity

LicenseNo.
GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

license or transmission of electricity, this license been hereby issued with the
conditionsasfollows:
1.Fullnameandaddressofthepersonorcorporatebody obtainingthelicense:
Address:
2. Nameoftheprojectoftransmission:
3. Description of the point from where the electricity is to be transmitted and
destinationoftransmission:

a)Zone: b)District:
c)V.D.C./Municipality:
4.Quantityandvoltageofelectricitytobetransmitted:
5.Periodofvalidityoflicense
From to
6.Otherconditions:

LicenseIssuingAuthority's
Signature:
Date:
Name:
Designation:Secretary
MinistryofEnergy
 Schedule 9(C)
(RelatingtoRule17)
LicenseforDistributionofElectricity

LicenseNo.
GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

license for distribution of electricity, this license has been hereby issued with
theconditionsasfollows:

1. Fullnameofthepersonorcorporatebodyobtainingthelicense:
Address:
2. Nameoftheprojectofdistribution:
3. Description of the project/plant from where the electricity is to be
distributedistobeprovided:
4. Quantityandvoltageofelectricitytobedistributed:
5. Areawheretheelectricityistobedistributed:
a)Zone:
b)District:
c)V.D.C./Municipality:
d)Boundary:
East West
North South
6.Periodofvalidityoflicense:
From to
7.Otherconditions:

LicenseIssuingAuthority's
Signature:
Date:
Name:
Designation:Secretary
MinistryofEnergy
 Schedule 10
(RelatingtoRule22)
LicenseforProduction,TransmissionandDistributionof
Electricity

LicenseNo.
GovernmentofNepal
MinistryofEnergy

Gentlemen,

As per your application submitted on (date) seeking to obtain a

license for production, transmission and distribution of electricity, this license
hasbeenherebyissuedwiththefollowingparticularspursuanttosubsection(3)
of Section 4 of the Electricity Act, 2049 and subrule (2) of Rule 23 of the
ElectricityRegulation,2050.

1. Name and Address of the person of corporate body to do the work of

production,transmissionanddistributionofelectricity:
Address:
2. Nameandparticularsofeachelectricitygenerationplant:
(a) Energycapacity(inkilowatt):
(b) Estimatedannualproduction(inkilowatthour):
(c) Dateofcommissioning:
(d) Meansbeinguseinproductionofelectricity:
(e) Nameofwaterresourcesifwaterresourcesisbeingutilized:
(f) Locationofelectricityplant:
Zone:
District:
V.D.C./Municipality:
3. Particularsofeachtransmissionline:
(a) Name:
(b) Standardofvoltage:
(c) Sizeofwire:
(d) Transmittingcapacity:
(e) Voltageofconcernedsubstationsandcapacityofinstalledtransformers:
(f) Dateofstartingthetransmission:
4. Particularsofdistributionofelectricity:
(a) Areaofdistribution:
Zone: District:
V.D.C/Municipality:
(b)Voltageofelectricitytobedistributed:
5. Totalcapacityofdistributingtransformers:
6. Numberofconsumers:
(a) Domestic:
(b) Industrial:
(c) Commercial:
(d)
Total:

7. AveragesellingPrice:
8. Dateofbeginningofdistribution:
9. Periodofvalidityoflicense:
10.OtherConditions:

LicenseIssuingAuthority's
Signature:
Date:
Name:
Designation:Secretary
MinistryofEnergy
 Schedule 11
(RelatingtoRule24)
*LicenseFees
A. SurveyofElectricityGeneration
LicenseFeesforInitial
InstalledCapacity RenewalFees
LicencePeriod
(MW) (Rs)
(Rs)
Above1andupto5 50,000peryear 50,000peryear
10,000perMWper
Above5andupto100 10,000perMWperyear year
Above100andupto500 1,000,000peryear 1,000,000peryear
Above500 2,000,000peryear 2,000,000peryear

SurveyofTransmissionandDistributionof
B.
Electricity
LicenseFeesforInitial
InstalledCapacity RenewalFees
LicencePeriod
(MW) (Rs)
(Rs)
Above1andupto5 10,000peryear 5,000peryear
Above5andupto100 50,000peryear 25,000peryear
Above100andupto500 500,000peryear 250,000peryear
Above500 1000000peryear 500,000peryear

ElectricityGeneration,Transmissionand
C.
Distribution
RenewalFeesfor
LicenseFeesforInitial Transmissionand
InstalledCapacity
LicencePeriod Distributionof
(MW)
(Rs) Electricity
(Rs)
Above1andupto5 100,000 100,000
Above5andupto100 500,000 500,000
Above100andupto500 1,000,000 1,000,000
Above500andupto1,000 2,500,000 2,500,000
Above1,000 5,000,000 5,000,000

*AmendedonSeptember10,2007
 Schedule 12
(RelatingtoRule48)
Distancewhichoughttobefromwiretotheground

S.No. Standard of voltage of While On the side of Inotherplaces

electricity acrossing the the road (metre)
road(metre) (metre)
1 In between 230/400 5.8 5.5 4.6
and11,000
2. In between11,000 and 6.1 5.8 5.2
33,000
 Schedule 13
(RelatingtoRule50)

Minimumdistancewhichoughttobefromthewiretothehouseoftree.
S.No. StandardofVoltateofElectricity Minimum Distance to be
fromhouseortree
1. Standard230/400to11,000 1.25meter
2. From11,000to33,000 2.00meter

Note:Whiledeterminingthe minimumdistanceasabove maximumdeflection

ofwirearisingduetoairpressureshallalsohavetobeconsidered.
 Schedule 14
(RelatingtoRule74)

Formatoftheinformationofaccidentcausedduetoelectriccurrent:

1. Timeanddateofaccident:
2. Place,districtandzoneofaccident:
3. Electricitysupplyvoltageandsystem:
4. Nameofthepersonkilledorinjuredduetoaccident(ifanimalisaffected,
mentionit):
5. Nameofthelicenseeoftheareaofaccident:
6. Occupationofthepersonsustainingaccident(workrelatingtoelectricityor
otherwork)tobementionedclearly:
7. a)Ifaccidentwasoccurredduetoworkrelatingtoelectricity,particulars
ofthesame:
b) If accident was occurred due to other work, how it occurred,
particularsofthesame:

8. If accident was occurred due to work relating to electricity, the name and
designation of the person on whose order the victim was working and the
statementofthepersongivingorder:
9. Detaileddescriptionofaccident:
10.Descriptionoftheworkdoneafteraccident:
11.Detailsofthemeasurestakeortobetakenbythelicenseeinordertoremove
thepossibilityofsuchaccidentinfuture:

Licensee's

Signature:
Name:
Designation:
Date: