The regulatory body went leaderless after the cabinet of ministers in the recommendation of the Minister of Energy suspended the officials of the commission citing inefficiency.
Following the vacancy in top positions, many tasks including approval of cost of issuing shares, connection of power generated through a commercial project in the national grid, power purchase agreement, initial public offering, right shares and approval of IPO from AGMs are pending. Shailendra Guragain, Former Chairman of Independent Power Producers, Nepal (IPPAN) says “Absence of office bearers in the commission has created havoc in the hydropower sector.”
“The sector has frozen. No work has been done since the rumor of suspension spread two months before the actual suspension. It’s been a month since the actual suspension in between also no tasks have been fulfilled. It will take more than six months for the new appointments The sector will bear the brunt for a long period,” he added.
On one hand, there are no officials in the commission, and on the other hand, the Securities Board of Nepal (SEBON) is also yet to appoint a chairman, which has stopped the procedure of issuing IPOs and right shares.
The government has formed a three-member inquiry committee to review the decision under the chairmanship of former chief justice Prakash Chandra Gajurel. The other members include Bishnu Thapa and Aashish Ghimire former joint secretaries of the government.
The committee was scheduled to submit the report within 15 days, however, one month has passed but it has not submitted any report.
