Electricity Rules, 2050 (1993)

CHAPTER – 1 PRELIMINARY
1. Short Name and Commencement:-

(1) These Rules may be called the “Electricity Rules, 2050 (1993)”
(2) It shall come into force immediately.

2. Definitions:-

Unless the subject or context otherwise requires, in these Rules:-
(a) “Act” means the Electricity Act, 2049.
(b) “Electricity Development Department” means the Electricity Development Department established to act as the electricity
development unit under the Ministry of Energy pursuant to Section 36 of the Act.
(c) “Secretary” means the Secretary of the Ministry of Energy.
(d) “Survey” means the act of survey relating to the production,   transmission or distribution of electricity and shall also include the acts  relating to feasibility study, detailed engineering design and the works  of investigation regarding there to.
(e) “Production, transmission and distribution of electricity” means the  construction, operation and maintenance of structures relating to the  production, transmission and distribution of electricity.
(f) “Distribution Area” means the area mentioned in the license relating to  distribution of electricity.
(g) “Wiring” means the installation of electrical device for the purpose of  supplying of electricity to the house and premises, compound, factory or  any other similar places belonging to the consumers.
(h) “Unit” means the electrical energy to be consumed within one hour if  one thousand watt of electricity is run.
(i) “Energy Meter” means an equipment installed for the purpose of  showing the units of electricity consumed.
(j) “Earthing” means the work to connect the wire taking it in a fixed depth  with the earth for the purpose of removing any danger to be occurred  due to electric energy.
(k) “P1ant” means the total form of equipments, materials and system which  cause production, transmission, transformation or distribution of  electricity.

CHAPTER – 2 PROVISIONS RELATING TO THE LICENSE

3. Information to be provided: –

Any person or corporate body who is  interested to conduct survey, production, transmission or distribution of  hydroelectricity of the capacity ranging from 100 to 1,000 kilo watt, shall
have to provide an information with the following particulars to the  Secretary through the Electricity Development Department in the format as prescribed in Schedu1e-1 pursuant to the proviso clause of Section 3 of the Act :-
(a) Detail description of the project,
(b) Map of the project site (main structures must be shown),
(c) Source of water and quantity of water to be utilized,
(d) Area where the electricity is to be distributed and estimated number of  consumers to be benefited from it,
(e) Whether the water resources to be utilized has already been utilized by  other or not, if done so give the particulars of the same,
(f) Other necessary matters.

4. Application to be submitted to obtain a License to Conduct a Survey of Production of Electricity: –

Any person or corporate body who is interested  to conduct a survey of production of electricity shall have to submit an  application in triplicate (three copies) stating the following particulars
relating to the proposed electricity production project to the Secretary  through the Electricity Development Department in the format as prescribed  in Schedule- 2:-
(a) Map of the project-site (in which preliminary sketch of the proposed  power-house, dam, reservoir, canal, tunnel, sub-station, transmission  line, and village, town, historical places, way etc. inside the project site  also should be clearly shown),
(b) Area of water-resources to be surveyed and quantity of water to be  utilized,
(c) Estimated amount of cost and time for the completion of project (both  the survey and construction),
(d) Total capacity of the project and estimate of annual production,
(e) In case the electricity is to be produced through other means except  other than water resources, types of fuel and method of acquiring the  fuel should be mentioned,
(f) Other necessary matters.

5. Application to be submitted to obtain a License to Conduct a Survey of Transmission of Electricity:-

Any person or corporate body who is  interested to conduct a survey of transmission of electricity shall have to  submit an application in triplicate stating the following particulars relating to
the electricity transmission project to the Secretary through the Electricity  Development Department in the format as prescribed in Schedule-3:-
(a) Preliminary route-map of electricity transmission line (proposed main  transmission line and alternative line also should be shown),
(b) Necessity, purpose and total length of the transmission line,
(c) Standard and capacity of voltage to be used for transmission,
(d) If the electricity is to be supplied at once Maximum load of electricity
and types of consumers,
(e) Estimated amount of cost and time for the completion of transmission
line (both the survey and construction),
(f) Other necessary matters.

6. Application to be submitted to obtain a License to conduct a Survey of Distribution of Electricity:-

Any person or corporate body, who is  interested to conduct a survey of distribution of electricity, shall have to  submit an application in triplicate stating the following particulars relating to
the electricity distribution project to the Secretary through the Electricity  Development Department in the format as prescribed in Schedule- 4:-
(a) Map of the distribution area (in which the geographical description of  the said area, present distribution system and preliminary sketch of  proposed distribution system also should be clearly shown),
(b) Necessity and purpose of the distribution system,
(c) Estimated number and types of consumers to be benefited from the  distribution system,
(d) Point where the electricity is to be purchased or acquired and other  particulars relating to sale and distribution,
(e) Estimated amount of cost and time for the completion of construction of  distribution line (both the survey and construction),
(f) Other necessary matters.

7. Examination of Application:-

(1) The Secretary by him/herself or through  the Electricity Development Department shall examine or cause to examine  the application received pursuant to Rules 4, 5 or 6 to see whether or not the  applicant has submitted the necessary documents, particulars or report to be  submitted under the Act and these Rules.
(2) While examining the application pursuant to Sub-rule (1), if it is  found that the applicant has not submitted any documents, particulars or  report which ought to have been submitted, a notice shall be given to the  applicant within fifteen days from the date of submission of the application
specifying a reasonable time-limit to submit such documents, particulars or  report.
(3) In case the Electricity Development Department gives notice  specifying the time-limit to submit any document, particulars or report  pursuant to Sub-rule (2), the date, when such matter is received, shall be  deemed as the date of submission of application for the purpose of Subsection
(2) of Section 4 of the Act.

8. To Issue License for Survey:-

The Secretary, after making necessary examination on the application received pursuant to Rules 4, 5 or 6, shall issue the license to the applicant in accordance with the request of applicant
or making necessary amendment in the format as prescribed in Schedules5(A), 5(B) or 5(C) respectively for the survey of production, transmission or distribution of electricity.

9. To Issue a License for Survey at the Same Time:-

If any person or corporate body desiring to conduct a survey of production, transmission or
distribution of electricity relating to a single project submits application stating all the particulars pursuant to Rules 4, 5 or 6, the Secretary, subject to the other provisions of these Rules, may issue the licenses at the same time to such applicant permitting him/her to conduct the survey of
production, transmission or distribution of electricity.

10. Survey Report to be Submitted:-

The person or corporate body who obtains a license pursuant to Rules 8 or 9 shall have to submit the report of survey in triplicate to the Electricity Development Department within Thirty days from the date of completion of work.

11. License for Survey not to be Issued in Duplicity:- 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 pursuant to Rules 8 or 9.

12. Application to be submitted to Obtain a License for Production of Electricity:-

Any person or corporate body who is interested to produce electricity shall have to submit an application in triplicate stating the following particulars relating to the proposed electricity production project  to the Secretary through the Electricity Development Department in the format as prescribed in Schedule- 6:-
(a) Detail description of the project (including a map of the project-site,  source of electricity to be produced, estimated cost and time to complete  the project, name of partners in the project and types of their  association, full name and address of the person or corporate body and  its directors with whom the ownership of the project shall be vested at last, should be clearly shown),
(b) If mineral fuel is to be used to produce the electricity, types of fuel,  method of its supply and its storage system should be shown and  agreement or letter of intention, if any and relating documents thereto  should be submitted,
(c) Analysis of feasibility (technical description together with the detail  map of the project and economic analysis, description of clients and  consumers, estimated quantity of electricity to be sold, if any  transmission or distribution system belonging to other person or  corporate body is to be used in supplying the electricity description of  the same),
(d) Mode of finance (estimated cost of the project, economic condition of he investors of the project, commitment of the financial institutions to  be involved directly in the project, and percentage of liability, share  capital and debt of the investors),
(e) Acquisition or utilization of house and land (landowners’ description  and total area of the public or private land to be required for the project  for utilization or acquisition temporarily or permanently),
(f) Environment Impact Assessment (measures to be taken to minimize the  adverse affect due project on environment, social and economic effect  of project on the said area, utilization of local labour, source and  materials, benefits to be taken by the local people after the completion
of the project, training to be provided 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 their rehabilitation also should clearly be shown),
(g) Description regarding sale and purchase of electric power of the project  (agreement or letter of intension if any and related documents thereto  also should be enclosed).
(h) Description relating to produced electricity transmission line of the  project,
(i) Description relating to supply, transportation and storage of the fuel (if  there is any agreement or letter of intention and other documents relating to the same, the copy should be enclosed),
(j) Other necessary matters.

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

Any person or corporate body, who is interested to transmit the  electricity, shall ha ve to submit an application in triplicate stating the following particulars relating to the proposed electricity transmission project to the Secretary through the Electricity Development Department in the
format as prescribed in Schedule- 7:-
(a) Detail description of the project (source of electricity to be transmitted, estimated cost and time to complete the project, name of partners in the  project and types of their association, full name and address of the  person or corporate body and its directors with whom the ownership of
the project shall be vested at last should be clearly shown),
(b) Route-map of the transmission line and sub-stations to be required for  transmission, right-of-way to be required and single line diagram,
(c) Standard transmission-voltage, transmission-capacity, standard of  construction, size of wire and its distance to each other, kinds of poles  and insulators and detailed map relating to the construction,
(d) Analysis of feasibility (technical description and economic analysis of  the project, if the electricity is to be supplied at once description 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, description of  the same),
(e) Mode of finance (estimated cost of the project, economic condition of  the investors of the project, commitment of the financial institutions to  be involved directly in the project, and percentage of liability, sharecapital  and debt of the investors),
(f) Acquisition or utilization of house and land (land-owners’ description  and total area of the public or private land to be required for the project for utilization or acquisition temporarily or permanently),
(g) Analysis of environmental effect (measures to be taken to minimize the  adverse affect due to project on environment, social and economic effect  of project on the said area, utilization of local labour, source and  materials, benefits to be taken by the local people after the completion
of the project, training to be provided 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 their rehabilitation also should be clearly shown),
(h) Description regarding sale and purchase of electric power of the project (if there is any agreement or letter of intention and related any other  documents relating to the same the copy should be enclosed),
(i) Map showing the other structures relating to electricity within the periphery of one and half kilometers of the transmission line,
(j) Other necessary matters.

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

– Any person or corporate body, who is interested 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 Electricity Development Department in the format as prescribed in Schedule- 8:-
(a) Detail description of the project (source of electricity to be distributed, estimated cost and time to complete the project, name of partners in the project and types of their association, full name and address of the person or corporate body and its directors with whom the ownership of the project shall be vested at last should be clearly shown),
(b) Analysis of feasibility (technical description and economic analysis 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, description of the same),
(c) Mode of finance (estimated cost of the project, economic condition of the investors of the project, commitment of the financial institutions to be involved directly in the project, and percentage of liability, share capital and debt of the investors),
(d) Map of the distribution area (geographical description, present distribution system and distribution system to be newly constructed of that area),
(e) Standard of the distributing voltage and standard of construction,
(f) Number and types of consumers to be benefited from the service,
(g) Description regarding sale and purchase of electricity (if there is any agreement or letter of intention and related any other documents relating to the sale and purchase of electricity to be distributed, the copy should be enclosed),
(h) Other necessary matters.

15. Examination of Application:-

(1) The Secretary by him/herself or through the Electricity Development Department shall examine or’ cause to examine the application seeking license for production, transmission or distribution of electricity received pursuant to Rules 12, 13 or 14 to see whether or not the applicant has submitted the necessary documents, particulars or report to be submitted under the Act and these Rules.
(2) While examining the application pursuant to sub-rule (1), if it is found that the applicant has not submitted any documents, particulars or report which ought to have been submitted, a notice shall be given to the applicant within Forty Five days from the date of submission of the application specifying a reasonable time-limit to submit such documents, particulars or report.
(3) In case the Electricity Development Department gives notice specifying the time-limit to submit some documents, particulars or reports pursuant to sub-rule (2), the date, when such matters are received, shall be
deemed as the date of submission of application for the purpose of Subsection (2) of Section 4 of the Act.

16. Public Notice to be Published:-

(1) On receipt of application seeking to obtain license for production, transmission or distribution of electricity
pursuant to Rules 12, 13 or 14, the Electricity Development Department shall, after making necessary examination of application under Rule 15, publish a notice stating the necessary particulars for the information of general public.
(2) Any person may furnish his/her reaction stating reasons thereto to the Electricity Development Department within Thirty Five days from the date of publication of notice pursuant to sub-rule (1), if the construction and operation of the proposed project is likely causing adverse affect.
(3) If any reaction is received pursuant to sub-rule (2), upon considering such reactions, the conditions which should be followed by the applicants shall be mentioned in the license.

17. To Issue a License:-

The Secretary, after completing or causing to complete the procedures pursuant to Rule 15 and 16, on the applications submitted for production, transmission or distribution of electricity pursuant to Rules 12, 13 and 14, shall issue the license to the applicant in accordance with the demand of applicant or making necessary amendment in the format as prescribed in Schedules 9 (A), 9 (B) or 9 (C) respectively for production, transmission or distribution of electricity.

18. License might be i ssued for Production, Transmission and Distribution of Electricity at the Same Time:-

If any person or corporate body is interested to produce, transmit or distribute the electricity relating to a single
project submits application in one time stating all the particulars pursuant to Rules 12, 13 and 14, the Secretary, subject to the other provisions of these Rules, may issue licenses at the same time to such applicant permitting
him/her for production, transmission and distribution of electricity.

19. License to be given for Production Transmission and Distribution to the Licensee of Survey:

– If any person or corporate body who has obtained license of one or all works for conducting survey of production, transmission or distribution of electricity pursuant to Rule 8 or 9 submits an application stating the particulars pursuant to Rules 12, 13 and 14 for the works of construction, operation and maintenance regarding production, transmission or distribution of electricity based on his/her own survey within the time limit of the license, such license shall be issued to the applicant subject to the other provisions of these Rules.

20. Right on Water Resources:-

The licensee, who has obtained license for production of electricity, 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. Time Limit to Start the Work:

– (1) The licensee, who has obtained license under these Rules, shall have to start the physical works within three months in case of survey and one year in case of production, transmission or distribution from the date of obtaining the license and shall have to inform the Electricity Development Department about the same.
Provided that if the licensee gives application stating the reasons of being unable to start the works within the time limit, the time limit may be extended if such reasons are deemed proper and sufficient.
(2) Once the works starts pursuant to sub-rule (1), the progress report of the work shall ha ve to be furnished to the Electricity Development Department at every six months till the completion of the work.

22. New License to be obtained:-

(1) Any person or corporate body who has been undertaking the works of production, transmission or distribution of
electricity prior to the commencement of the Act, shall have to give application stating the particulars as mentioned in Rules 12, 13 or 14 to the Secretary through the Electricity Development Department for obtaining the
license pursuant to Sub-section (3) of Section 4 of the Act.
(2) The Secretary, either him/herself or through the Electricity Development Department, shall examine or cause to examine the application submitted pursuant to sub-rule (1) and issue the license to the applicant in
the format as prescribed in Schedule-10.

23. Permission for Import of Electricity:

– (1) If the licensee, who has obtained license for production, transmission or distribution in accordance
with these Rules, is interested to import the electricity into ……. Nepal, he/she shall ha ve to submit an application together with the agreement made thereto to the Electricity Development Department to get the prior
permission of Government of Nepal.
(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 ha ve to be mentioned in the application to be submitted pursuant to sub-rule (1).
(3) Government of Nepal after making necessary examination, may, upon receipt of the application pursuant to sub-rule (1), give its permission to import the electricity either in accordance with the demand of the applicant or with required amendment.

24. License Fee:-

(1) While submitting an application for obtaining the license for  survey, an amount equal to the fees prescribed in Schedule-11 shall be deposited in the deposit account in the name of Electricity Development Department.
(2) While submitting an application for obtaining a license for production, transmission or distribution, the fees as prescribed in Schedule-11 shall have to be  paid.
(3) In case a person or a corporate body who has submitted an application pursuant to Sub-rule (1) receives a survey license pursuant to Sub-section (2) of  Section 4, the deposit amount so deposited by him/her shall be transferred into the  Revenue Account of the Government of Nepal, by the Electricity Development
Department as a license fee.  Provided that, in case, the license could not be issued to him/her, such
deposit amount shall be refunded to the depositor.
(4) In case, it has been decided to issue survey license pursuant to Subsection  (2) of Section 4 of the Act and the same has been informed, to the applicant  and if the applicant does not appear to collect the survey license within three  months of such information, the amount deposited pursuant to Sub-rule (1) shall be  transferred into the Revenue Account of the Government of Nepal.  Provided that, In case the person or corporate body who has been decided  to receive license does not collect it within thirty five days of publication of this  Rule in the Nepal Gazette, the deposit amount collected upto the date of  publication of this Rule in Nepal Gazette shall be transferred into the Revenue account of the Government of Nepal.

25. To Renew the License:-

(1) The license issued in accordance with the Act and these Rules shall have to be renewed one year before the expiry of the period as mentioned in the license.
(2) While renewing a license pursuant to Sub-section (3) of Section 5 of the Act, an amount [1]………………..as prescribed in Schedule-11 shall be charged.

26. Counting of Unit (Kilowatt hour) for the Purpose of Royalty:-

While counting the units (Kilowatt hour) for the purpose of royalty pursuant to Section 11 of the Act, the quantity of electricity used for the operation of the powerhouse shall be deducted from the total electricity produced from the powerhouse and remaining units shall be counted.

27. Export Tax:-

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 Government of Nepal pursuant to Sub-section (2) of the same Section.

CHAPTER-3 MATTERS TO BE FOLLOWED BY DISTRIBUTOR AND CONSUMERS OF ELECTRICITY

28. Application to be Submitted for Installation of Electricity Line:-

(1) The  consumer, who is interested to use electricity to be distributed by the  licensee, shall have to submit an application to his/her office in the format as  prescribed by him/her.
(2) On receipt of an application pursuant to sub-rule (1), the  licensee shall after inspection of the wiring, if deems proper from technical  and safety point of view shall arrange necessary action to supply electricity  to the applicant. If the licensee deems wiring improper he shall issue a notice  to the applicant for the improvement of the wiring.
(3) In case of dispute arising between the licensee and the consumer in connection with the availability of electricity to the consumer after the  inspection pursuant to sub-rule (2), the affected party shall have to give an application to the Chief Electricity Inspector. The Inspector by conducting  an inspection upon such application may issue necessary order. It shall be  the duty of both the licensee and the consumer to follow such order.
(4) The licensee before issuing notice of granting electric  connection shall make consultation with the person willing to be a consumer  regarding the service line and fix proper place for placing the energy meter.
(5) The licensee shall provide a copy of the cost estimate to the  person willing to be a consumer, showing the possible expenditure for the  electric connection and any material to be installed on his own cost.
(6) The electric line shall be connected only after the person willing  to be the consumer pays the cost along with the cost estimate as received pursuant to sub-rule (5) in the office of the licensee and the licensee shall
have control over such electric connection.

29. The Licensee should have to Install the Energy Meter:-

(1) The licensee  shall install energy meter on his/her own expense for the consumer to  measure the consumption of electric energy and may take security money as reasonable for meter installed.
(2) In case if electric connection is not in existence at the place of  the consumer the security money as deposited by the consumer pursuant to sub-rule (1) shall be refunded to him/her.
(3) Notwithstanding anything written in sub-rule (1), in special circumstances or if the person willing to be a consumer and the licensee  make mutual understanding for simplicity, the licensee may supply electricity without installing any energy meter.
(4) The licensee shall cause to inspect technically the energy meter  installed at the place of the consumer from time to time and if the energy  meter is not in order to general operation, he shall change the new energy  meter without any charge. Provided that, 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 fault or negligence done  knowingly by the consumer.
(5) The licensee shall cause the inspection of the energy meter within Fifteen days in maximum if the consumer submits an application stating that the energy meter is out of order or is running faster than the
normal pace.
(6) On inspection if it is found the energy meter is out of order or is  running faster than the normal pace, the licensee shall have to change or  repair such energy meter at free of cost.
(7) According to the claim of the consumer, if it is found the  consumer has suffered loss due to the energy meter being out of order or running faster, the licensee shall compensate the loss from the date of the
application submitted by the consumer to the proceeding one month.
(8) The licensee shall issue a card to the consumer in which electricity  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 other  materials installed for the purpose of supplying electricity.
(10) The seal affixed pursuant to sub-rule (9) should not be  displaced, destroyed or by any means damaged by any body other than the  licensee or the person appointed by him/her.
(11) In case if a consumer wants to change the place of the energy meter, which has already been installed, at the convenient place, the licensee  by levying charge pursuant to Rule 34, shall cause it to be changed.
(12) The consumer shall not, in any way, try to handle or damage the  service line, energy meter, cutout or circuit breaker.

30. To Prepare the Description and Index of Consumers:

– (1) The licensee, shall keep safely the description of the facts regarding the supply of electricity to the consumers and such description should be shown to the Inspector if he/she wants to see it in course of his/her enquiry.
(2) The licensee shall prepare a up-to-date list of the consumers enjoying the service and persons willing to be new consumers within its area of distribution of electricity.

31. No Line to be provided to others:-

The consumer should not allow electric connection to other’s house from his/her own energy meter.

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

As regards the expenses for the electricity charge, repair and maintenance of the street lights or lights installed at public places, it shall be governed by the agreement reached at the time of installation between the
consumer and the licensee.

33. Paying of Charges and Other Fees:-

(1) There shall be a liability to each  consumer to pay the electricity charge and other fees for enjoying the
electricity service as determined by the Tariff Fixation Commission  constituted pursuant to Section 17 of the Act.
(2) The period to pay the charges pursuant to sub-rule (1) shall be  as fixed by the licensee. While fixing such period the rebate shall be made  clear for those consumers who pay the charges before the fixed period and  additional charges to those consumers who do not pay charges within the  fixed period.

34. Other Charges:-

The licensee may charge other charges with addition the electricity charge to the consumers for rendering’ the electricity service pursuant to Sub-section (2) of Section 16 of the Act for rendering the following services:-
(a) Installing of the electricity line,
(b) Transferring of the energy meter from one place to another,
(c) Reconnecting the electric line after disconnection,
(d) Changing the inside fuse of meter-box,
(e) Fitting of new seal in case it is broken,
(f) Transferring of the entitlement of consumer,
(g) Testing of energy meter,
(h) Making a vailable of consumers’ card.

35. Energy Meter to be Installed:

– The licensee, who produces the electricity more than 1000 kilowatt, shall compulsorily install the energy meter.

36. Regarding the Design and construction of Electric Circuit:-

While designing and constructing the electric line from electric generation plant or main sub-station to the distribution transformer of the remotest location, it shall be done in such a way that the voltage to be transformed from the transformer shall be proper and the consideration be given to the loss of electric circuit and in the process of such construction; (if needed, the tapping a vailable in the transformer may be used).

37. Information to be Provided in Case of Danger:-

In case when a danger exists from the electrical installation in the consumer’s house or premises or there is a possibility to have danger, the consumer shall inform the office of the licensee as soon as possible.

38. Inspection and Maintenance of Service Connection:-

(1) Upon receipt of the information pursuant to Rule 37, the, licensee shall assign a technician
immediately and cause to remove the danger.
(2) Whether or not the information is received pursuant to Rule 37, the licensee shall cause to inspect and maintain the service line of consumer in time to time by electric technician on such area where the distribution is made by him/her and cause to maintain the safety measures.

39. Service Line to be Reconnected:-

If the consumer pays the charge fixed by the licensee, the service line disconnected pursuant to Clauses (c) and (d) of Section 19 of the Act shall be reconnected.

CHAPTER-3 MATTERS TO BE FOLLOWED BY DISTRIBUTOR AND CONSUMERS OF ELECTRICITY

28. Application to be Submitted for Installation of Electricity Line:-

29. The Licensee should have to Install the Energy Meter:-

(1) The licensee  shall install energy meter on his/her own expense for the consumer to  measure the consumption of electric energy and may take security money as reasonable for meter installed.
(2) In case if electric connection is not in existence at the place of  the consumer the security money as deposited by the consumer pursuant to sub-rule (1) shall be refunded to him/her.
(3) Notwithstanding anything written in sub-rule (1), in special circumstances or if the person willing to be a consumer and the licensee  make mutual understanding for simplicity, the licensee may supply electricity without installing any energy meter.
(4) The licensee shall cause to inspect technically the energy meter  installed at the place of the consumer from time to time and if the energy  meter is not in order to general operation, he shall change the new energy  meter without any charge. Provided that, 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 fault or negligence done  knowingly by the consumer.
(5) The licensee shall cause the inspection of the energy meter within Fifteen days in maximum if the consumer submits an application stating that the energy meter is out of order or is running faster than the normal pace.
(6) On inspection if it is found the energy meter is out of order or is  running faster than the normal pace, the licensee shall have to change or  repair such energy meter at free of cost.
(7) According to the claim of the consumer, if it is found the  consumer has suffered loss due to the energy meter being out of order or running faster, the licensee shall compensate the loss from the date of the application submitted by the consumer to the proceeding one month.
(8) The licensee shall issue a card to the consumer in which electricity  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 other  materials installed for the purpose of supplying electricity.
(10) The seal affixed pursuant to sub-rule (9) should not be  displaced, destroyed or by any means damaged by any body other than the  licensee or the person appointed by him/her.
(11) In case if a consumer wants to change the place of the energy meter, which has already been installed, at the convenient place, the licensee  by levying charge pursuant to Rule 34, shall cause it to be changed.
(12) The consumer shall not, in any way, try to handle or damage the  service line, energy meter, cutout or circuit breaker.

30. To Prepare the Description and Index of Consumers:

31. No Line to be provided to others:-

The consumer should not allow electric connection to other’s house from his/her own energy meter.

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

33. Paying of Charges and Other Fees:-

(1) There shall be a liability to each consumer to pay the electricity charge and other fees for enjoying the electricity service as determined by the Tariff Fixation Commission constituted pursuant to Section 17 of the Act.
(2) The period to pay the charges pursuant to sub-rule (1) shall be as fixed by the licensee. While fixing such period the rebate shall be made clear for those consumers who pay the charges before the fixed period and additional charges to those consumers who do not pay charges within the fixed period.

34. Other Charges:-

35. Energy Meter to be Installed:

– The licensee, who produces the electricity more than 1000 kilowatt, shall compulsorily install the energy meter.

36. Regarding the Design and construction of Electric Circuit:-

37. Information to be Provided in Case of Danger:-

38. Inspection and Maintenance of Service Connection:-

39. Service Line to be Reconnected:-

If the consumer pays the charge fixed by the licensee, the service line disconnected pursuant to Clauses (c) and (d) of Section 19 of the Act shall be reconnected.

CHAPTER – 5 SAFETY MEASURES REGARDING ELECTRIC DEVICES
48. Minimum Distance from Ground to the Electric Wire:

– (1) Distance  between the electric wire of different volts of the distribution and  transmission system and the ground shall not be less than as prescribed in  Schedule-12.
(2) In case where electric line is to be installed by the side of the  road or along it, it shall be done by adopting appropriate technological  measures.
(3) If it is necessary to install electric line of more than 33,000  volts, it shall have to be done by adding 0.305 meter for each 33,000 volts on  the distance as prescribed for 33,000 volts in Schedule-12.

49. Regarding the Installation of Electric Line Across the Road:-

While installing electric line of more than 11,000 volt across the road in a densely populated area, the double insulator system shall have to be used.

50. Distance to be Maintained on either side of the Electric Line:-

(1) While installing electric line of distribution and transmission system, it shall not be installed in a distance lower than the distance as prescribed in Schedule- 13 from the house or tree.

(2) If it is necessary to install electric line of more than 33,000 volt, it shall have to be done by adding 0.305 meter for each 33,000 volts on the distance as prescribed for 33,000 volts in Schedule-13.

51. Distance to be Maintained in between the Poles:-

While determining the distance in between the electric poles, it shall be maintained with taking consideration upon last tensile strength factor of safety and distance between ground and wire.

52. No Electric Lines should be carried out from above a House:-

No electric lines of any kind shall be carried out from above a house. Provided that the lines of upto 400/230 volt may be carried out from above a garage, cottage (Tahara), or fence and such electric lines shall be installed at a height which shall not be less than three meter from the highest point of such garage, cottage or fence.

53. In Relation to Installation of the Lines of Different voltages in a Single Pole:-

(1) While installing electric lines of different voltages on a single  pole, the line of higher voltages shall be installed above and the line of low  voltage below.
(2) While installing lines in a manner as mentioned in sub-rule (l),  care has to be taken that no leakage or danger of any kind or charge shall  exist from high voltage line to low voltage line.
(3) It is necessary that a distance required from the technical point of view should be maintained between the lines of high voltage and low  voltage.

54. In Relation to electric Lines to be Installed around Airport:-

While installing electric lines around the airport, it shall be done according to a decision arrived at by the discussion with the chief of airport concerned.

55. In Relation to Installation of Electric Lines and Telephone Lines:-

While installing electric line near to the telephone lines or vice versa, the licensee and the concerned office of telecommunication shall hold discussions between them and it shall be installed in such a way that no obstacle or charge shall be made to the telephone line from the technical point of view.

56. Safety from Lightning:-

The licensee, shall, for the purpose of safety from any harm from lightning or to ensure non-fluctuations of electric energy, provide protection equipment against lightning or any appropriate device and a system for earthing of lightning from those devices shall also be provided.

57. Change-over-switch to be Maintained:-

Each person, who install a standby generating set for standby use, shall, in consultation with the licensee in that area, have to install a change-over-switch.

58. Earthing to be Done:-

(1) All kinds of metallic supports under high voltage system shall be permanently and effectively earthen by using perpetual earth wire.
(2) Insulators shall have to be installed at not less than three meters from the ground in the stay-wires used in supports of transmission and distribution system.

59. Cutout to be Installed:-

(1) The licensee shall have to install cutout or circuit breaker on the energy meter with seal for the purpose of safety and load limit of the energy meter installed in the house or premises of the consumer.
(2) The consumer shall ha ve to install an isolating switch nearby the energy meter.

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

(1) If electric appliances like water-heater, air-conditioner are installed in  the house of the consumer, provision of earthing shall have to be made for  such appliances by supplying electricity through separate appropriate electric circuit.
(2) If electric appliances of different metals is to be used in the  house or premises of the consumer, three-pin plug socket shall have to be  installed and such plug socket shall have to be connected with the earthing system.
(3) The earthing system installed in the house or premises of the  consumer shall have to be in accordance with the technically proper system.

61. Safety of Internal Wiring:-

Wiring method and the electric devices installed for the safety of internal wiring of the consumer’s house shall ha ve
to be in accordance with the prevailing technical standard.

62. Insulated Wire to be Used:-

Insulated wire shall have to be used when joining electric line to the consumer’s house.

63. Electric Line to be Provided through Pole:-

(1) While installing a electric line to the consumer’s house, it shall be done only through pole.
(2) Notwithstanding anything written in sub-rule (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 technical standard.

64. Danger of Leakage at 230/400 Volt:-

The insulation resistance of electric system of 230/400 volts and wiring shall be at least 5 megaohm.

65. Danger of Leakage at High Voltage:-

(1) The insulation resistance of 3,300  volt electric system shall be at least 20 megaohm.
(2) While calculating the insulation resistance of more than 3,300  volt electric system, it shall be done by adding 1 megaohm for each 1,000  volt on 20 megaohm.
(3) The operation of electric system without the insulation  resistance as mentioned in sub-rule (1) and (2) shall not be allowed.
66. Utilization of House and Land around the construction Site Relating to
Production, Transmission and Distribution of Electricity may be
Prohibited:-

(1) If any construction work has been carried on relating to production, transmission and distribution of electricity for the purpose of Sub-section (3) of Section 33 of the Act, Government of Nepal may, by publishing a notification in the Nepal Gazette from time to time, prohibit in the utilization of the house and land at the place of construction or at the place falling within the specified distance around the construction site for
any specified purpose.
(2) No one should plant tree or construct house underneath the electric line installed for the purpose of transmission or distribution of electricity or on either side of such line within the distance as prescribed in Schedule-12 and 13.

67. Standard of Electrical Devices and Method of Use:-

The licensee, shall  have to abide by the following matters from the point of view of standard  and safety of the electrical devices to be used in the works of production,  transmission and distribution of the electricity:-
(a) Materials and devices of high standards should be used,
(b) when bringing into operation the new plant or after repairing the old  one, it should be operated after conducting all tests from the technical  point of view and be proved proper,
(c) The electric wires to be used for any purpose should be of adequate  capacity required for that work,
(d) While joining the electric wires, it should be joined in accordance with
the recognized technical standard in such a way that a danger might not
arise,
(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 in the electric circuit or sub-circuit, they might resist the flow of  current and there would not arise any danger. These devices, while in  operation, should be such that extra heat would not be produced, nonsparking and would of no danger at the time of changing.
(g) Single phase switch is not allowed to be installed in the neutral wire  except on live wire.

CHAPTER-6 SAFETY PROVISIONS RELATING TO THE ELECTRICAL WORKS

68. Warning Indication Board:-

(1) The licensee shall hang a warning  indication board in Nepalese and English language on the following de vices
and places:-
(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 passing and on the line-board where the tube for X-ray has been installed  or on other plants of such high frequency.
(2) If warning indication board is not possible to be hanged on all  equipments mentioned in Clause (b) of sub-rule (1), it shall be hanged at a  place nearby or at entrance to the place where such equipments have been installed.

69. Electricity Supply to be Cut-off:

– (1) Electricity supply shall have to be cut  off if inspection, repairing or any other important work relating to the equipments installed for production, transmission and distribution is to  conduct.
(2) Notwithstanding anything written in sub-rule (1), there shall be no compulsion to cut off the electric line if it is possible to work with full  safety from the technical point of view.
(3) While re-operating the electric line after the completion of work  pursuant to sub-rule (1), it shall be operated only after taking full care of the  possible danger.

70. Voltage Testing and Line Earthing:-

While carrying the works of repairing and maintenance of electric line, it shall be done only after testing the
current with a tester and being sure of voltage cutoff.

71. Insulated Gloves to be Used:-

While working 511 a place having live line of electricity, work shall ha ve to be done only by using insulated gloves.

72. Notice for First Aid when Affected by Electric Current:-

(1) Procedures required to be taken as a first-aid measure when affected by electric current shall have to be displayed at the licensee’s plant in clearly understandable Nepalese language.
(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. Safety Belt:-

Workers working at any elevated place or electric poles shall be asked to work only by using safety-belt for protection.

74. Information of Accident:-

(1) The licensee should have to send a detail description of happening of any accident and damage in plant to the
Inspector in the format as prescribed in Schedule-14.
(2) After receiving the details pursuant to sub-rule (1), the Inspector may inspect as required to find out the cause of such accident and may give order to the licensee for arranging safety measures in order to that such accidents should not be repeated from the technical point of view. It shall be the duty of the licensee to obey such order.

CHAPTER-7 PROVISIONS RELATING TO INSPECTION AND INVESTIGATION

75. Provision relating to Inspector and Employees:-

(1) For the purpose of Section 37 of the Act, Government of Nepal, as required, may appoint Chief
Electricity Inspector or other Electricity Inspectors.
(2) Government of Nepal may appoint other employees to assist the Chief electricity Inspector and Electricity Inspector to their work.

76. Qualification Required for Inspector:-

(1) A person having an experience  of ten years at minimum in the field of electricity after holding a degree of
Bachelor of Engineering may be appointed on the post of Chief Electricity  Inspector.
(2) A person holding a degree of Bachelor of Engineering may be  appointed on the post of Electricity Inspector.

77. Power of the Inspector:-

(1) The Inspector appointed pursuant to Rule 75, may make examination about the plant of the licensee.
(2) It shall be the duty of the licensee or the consumer to answer all the questions asked by the Inspector in connection with the examination pursuant to sub-rule (1) and to cooperate him/her as required.

78. Inspector to be Deputed to Make Examination of New Plant:-

The Chief Electricity Inspector by him him/herself or any Inspector deputed by him/her may make examination of a new plant installed by a licensee.

79. Examination of the Operating P1ant:-

Each licensee shall have to cause examination of his/her operating plant every year and obtain a certificate
thereto.

80. Order of the Inspector to be Followed:-

(1) The licensee shall abide by the order issued by the Inspector under the Act and these Rules in connection with the survey, production, transmission or distribution of Electricity.
(2) The licensee, who does not satisfy with the order issued by the Inspector pursuant to sub-rule (1), may file a complaint to the Secretary and the order issued by the Secretary in this regard shall be final.

81. Examination of Improper Electrical Appliances or System:-

The licensee, or the re-operation 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 re-operate of the electrical devices system if proper after examining such electrical devices or system.

82. Charges for Examination:-

A licensee or a consumer may, if he/she deems necessary to cause to make examination of some thing in accordance with these Rules, give an application to the Chief Electricity Inspector. The licensee or consumer, while causing examination so, shall have to pay the charge as prescribed by Government of Nepal by a notification published in
the Nepal Gazette. Provided that if the examination of operating plant is caused by the Inspector deputed by the Chief Electricity Inspector in connection with his/her regular duty no examination charge shall have to be paid.

83. Notice of the Outcome of Examination:-

The Inspector shall have to notify the concerned person if the examination shows that the electric equipments or system is found in proper condition and if it is not found in proper condition he/she shall have to issue a written order to change, repair or stop operation of such electric devices or plant.

CHAPTER- 8 MISCELLANEOUS
84. Power to Fix Safety Conditions Regarding the Construction Works Relating to Hydroelectricity:-

Government of Nepal may, by publishing a notification in the Nepal Gazette, fix the measures to be taken while making design and constructing dam, powerhouse and other structures required for production of electricity and conditions for safety regarding the construction of powerhouse with reservoir.

85. Statements to be Brought to Knowledge:-

Prior to start the works of production, transmission or distribution of electricity, the licensee shall have to keep in a conspicuous manner in his office the copy of the license, the map of the area of production, transmission or distribution of electricity, relation to be maintained between the licensee and the consumer regarding the distribution of electricity and descriptions stating other conditions.

86. Provisions Relating to Residence and Bonus:

– (1) For the purpose of Section 15 of the Act, the licensee shall have to provide a residential quarter for the workers and employees involved on the works of production, transmission or distribution of electricity.
(2) The licensee shall have to distribute bonus to the workers and  employees every year setting aside the amount equal to two percent of the amount of net profit.  Provided that the bonus to be distributed shall not exceed the
amount equal to the annual salary of the concerned employee.
(3) The licensee, after distributing the bonus from the amount set  aside pursuant to sub-rule (1), shall deposit the remaining amount in the fund  set up as the employee’s welfare fund.
(4) The operation of the fund pursuant to sub-rule (3) shall be as  decided by the licensee.
(5) Matters relating to bonus other than mentioned in these Rules shall be regulated under prevalent Nepal Law.

87. To be Compensated:-

(1) Government of Nepal or the licensee shall, if the landowners are not allowed to possess their house and land situated at the prescribed distance for the purpose of Sub-section (3) of Section 33 of the Act and Rule 66, pay the amount of compensation at lump sum to such land owners as determined by the Compensation Fixation Committee pursuant to Rule 88.
(2) The compensation to be given pursuant to sub-rule (1) shall be applicable only to the construction works relating to electricity which are to be constructed after the commencement of these Rules.
(3) Notwithstanding anything written in sub-rule (1) the compensation shall not be paid on the following conditions :
(a) If the land is beneath the service line installed for the purpose of supplying electricity to the landowner, or
(b) If houses are attached to each other in densely populated urban or rural area and the main line passes through the wall of one house to another house while connecting electric line from one house to another house.

88. Compensation Fixation Committee:-

(1) A Compensation Fixation Committee shall be formed consisting of a chairperson and members as  follows for the purpose of fixation of the amount of compensation to be paid  pursuant to Sections 28 and 29 of the Act:-
(a) A person as designated by  Government of Nepal – Chairperson
(b) A concerned person or a representative of a corporate body conducting
survey, production transmission or distribution of electricity – Member
(c) An expert relating to the field of electricity as designated by  Government of Nepal – Member.
(2) The following persons also shall be members in the committee as prescribed by sub-rule (1) in order to fix the amount of compensation to be paid pursuant to Section 32 and 33 of the Act and Rule 87 :-
(a) Owner of the real estate (immovable property) who has  sustained loss or his/her representative – Member
(b) Representative of the concerned Land Revenue Office relating to  area of the loss incurred real estate – Member
(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 policy of fixing actual figure of loss.
(4) The procedures relating to the meeting of the Compensation Fixation Committee may be determined by the said committee itself.

89. Authority Prescribed:-

The Secretary has been prescribed as the authority for the purpose of Sub-section (5) of Section 4, Section 8 and Sub-section (1), (2) and (3) of Section 38 of the Act.

90. Statement of Audit:-

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 Electricity Development Department within six months of the next financial year.

91. Annual Report:-

(1) The licensee, after the commencement of works of the production, transmission or distribution of electricity, shall have to send an annual report e very year to the Electricity Development Department.
(2) In the report pursuant to sub-rule (1), the licensee, shall mention the units of monthly generated electricity from different power houses, the distributed units showing the category of consumers, internal use of the plant, leakage, load and capacity factor, maximum demand of a month and a specimen of load curve.

92. Use of Electric System:-

(1) The licensee may, if it is possible from the technical point of view, supply the electricity produced by him/herself in any part

of Nepal to the other point of the country through the present grid  system and vice versa.
(2) The person or corporate body, who has the ownership of the electric system pursuant to sub-rule (1), shall allow to use his/her own  system to the licensee if it is reasonable from the technical point of view.
(3) The licensee while supplying the electricity pursuant to sub-rule
(1) shall pay the charge as determined by mutual agreement to the person or  corporate body to whom the said electric system belongs to.

93. Registration and Permission should be in accordance with the Prevalent Laws:-

While issuing a license under these Rules for the works of survey, production, transmission and distribution of electricity, the licensee should 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 investment is to be involved.

94. These Rules to be Applied:

– (1) Except the provisions relating to license all other provisions of these Rules shall be applicable to production or development of electricity developed pursuant to Section 34 of the Act by Government of Nepal by itself.
(2) Except the provisions relating to license all other provisions of these Rules shall be applicable to any person or corporate body who does the work of production, transmission or distribution of electricity having the capacity of up to 1000 kilowatt.

94a. Manual or Procedure may be framed: –

To meet the objectives of the Act of these Rules, Ministry of Energy may frame and implement necessary Rules of procedure.

95. Change and Amendment in Schedule:-

Government of Nepal may, by publishing a notification in Nepal Gazette, make any change or amendment, as required, in the schedules of these Rules.

96. Repealing and Saving:-

(1) Electricity Rules, 2025 is hereby repealed.
(2) The works done pursuant to the Electricity Rules, 2025 shall be deemed as to have been done under these Rules.

Note
1. “Electricity Development Centre” has changed into “Electricity Development Department” by First
Amendment.
2. “Ministry of Water Resources” has changed into ” Ministry of Energy” by Third Amendment

Electricity-Rules-Nepal