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2

2. Definitions

2. Definitions: Unless, the subject or context otherwise requires, in this Act;-
(a) “Chairperson” means the Chairperson of the Council.
(b) “Officials” means the following officials to be appointed on the
recommendation of the Council”
(1) The Chief Justice of Supreme Court.
(2) Chief Commissioner and Commissioners of the Commission for the
Investigation of Abuse of Authority.
(3) Auditor General.
(4) Chairperson and members of Public Service Commission.
(5) Chief Election Commissioners and election commissioners of
Election Commission.
(6) Chairperson and members of National Human Rights Commission.
(c) “Council” means the Constitutional Council constituted pursuant to Article 149 of the Constitution.
(d) “Constitution” means the Interim Constitution of Nepal, 2063.
(e) “Secretary” means the Secretary of the Council.
(f) “Secretariat” means the Secretariat of the Council pursuant to Section 8.
(g) “Member” means member of the Council.

3. The functions, duties and powers of the Council

3. The functions, duties and powers of the Council:

Save as provided by the Constitution, the other functions, duties and powers of the council shall be as
follows:
(a) To recommend for parliamentary hearing for the purpose of Sub-article (1) of Article 155 of the Constitution.
(b) To recommend before the President for the appointment of the person from among the person recommended pursuant to Clause (1) for whom the
secretariat of the parliament writes that there is no bar to appoint him/her.
(c) To maintain the record of the persons who are eligible for the recommendation pursuant to Clause (1).
(d) To keep updated record of appointment, tenure, vacancy, and re-appoint etc of the officials.

7. License to be obtained:

7. License to be obtained:

(1) Any person intending to produce, sell or distribute the prescribed feed shall obtain the license as prescribed from the prescribed authority.

(2) Notwithstanding anything contained in Sub-section (1), in the case of a sealed feed, a retailer having obtained the deed of guarantee as  prescribed from the producer or wholesaler shall not be required to obtain the license pursuant to this Section.

4. Record to be maintained

4. Record to be maintained:

(1) The Secretariat shall maintain separately the record of the persons who are eligible to be appointed in the post of officials of
Constitutional body.
(2) The record maintained pursuant to Sub-section (1) shall be confidential and in the custody of secretary.
(3) The secretary shall not give the record pursuant to Sub-section (2) to anyone nor shall make it public without the approval of the Council.
(4) Notwithstanding anything contained elsewhere in this Section, there is  no bar to recommend the person for constitutional position who is eligible
pursuant to constitution and law only on the reason that his/her name is not included in the record

8. Penalties:

8. Penalties:

A person who violates this Act or the Rules or orders framed or issued under this Act may be punished with a fine from Five Hundred Rupees to One Thousand Rupees or with imprisonment for a term not exceeding Six months or with both, for the first instance, and with a fine from One Thousand Rupees to Two Thousand Rupees and with
imprisonment for a term from Six months to Two years for each instance, from the second instance onwards.

5. The procedures to be followed for making recommendation for appointment

5. The procedures to be followed for making recommendation for appointment:

(1) The Council shall, while making recommendation to a person for the appointment in the official of constitutional body set out qualification
mentioned in the Constitution and prevailing law and the reasons and grounds of the recommendation.
(2) The council shall, while making recommendation to a person pursuant to Sub-section (1) shall consider including his/her social prestige, high moral
character, honesty, public attitude toward him/her and his/her previous service, if any, and professional experience.

6. Procedures relating to the meetings of the council

6. Procedures relating to the meetings of the council

(1) The meetings of the council shall be held as may be required on the date, time and at the place prescribed by the chairperson.
(2) The Secretary shall, as per the direction of the chairperson, send a notice of date, time, place of the proposed meeting and the agenda to be discussed at the
meeting to the each member in the advance of Forty Eight hours of the proposed meeting.
Provided that, if a member thinks that discussion is necessary over a matter, which is not included in the agenda, at the meeting, he/she may, with the
permission of the chairperson, put the proposal thereof at the meeting.
(3) It shall be deemed to have been achieved the quorum for holding a meeting if the chairperson and at least other Five members are present.
(4) The chairperson shall preside over the meetings of the Council.
(5) Each matter submitted at the meeting shall be decided unanimously.
(6) In case unanimous decision could not take place pursuant to section (5) no decision shall be made over such matter.
(7) The chairperson shall call next meeting to make decision on the matter which was not decided pursuant to Sub-section (6) and the decision shall be taken
over that matter on the basis of the consent of the meeting.
Provided that, even the said meeting fails to make decision on the basis of the consent, the decision shall be taken by majority votes of the total members of
the council.
(8) The Secretary shall maintain the record of the decisions of the council and shall keep the decision upon causing the signature of the chairperson and
members.
(9) Other procedures of the meeting of the council shall be determined by itself as per necessity

9. Liability of offence committed by firm or body corporate:

9. Liability of offence committed by firm or body corporate:

If any firm or corporate body violates this Act or the rules or orders framed or issued under this Act, in the case of a firm, its owner or partner, and in the case of a corporate body, the chief administrative officer carrying out  the functions of that body, shall be liable to the punishment for the purpose of Section 8.

Provided that, in the case of any act and action carried out prior to his or her being owner, partner or such administrative officer or if he or she proves that he or she was not in a position to know the violation, such a
person shall not be liable for such punishment.

7. Recommendation to be forwarded for parliamentary hearing

7. Recommendation to be forwarded for parliamentary hearing:

(1) If the Council recommends to a person for an official of constitutional body, the Secretary shall forward it to the Secretariat of Legislature Parliament for
parliamentary hearing.
(2) In case Secretariat of the Legislature- Parliament writes that there is no bar to appoint a person, the Secretary shall, as per the decision of the Council,
forward it to the office of the president to submit it before the president for the appointment.

11. Test of feed:

11. Test of feed:

A test as to whether any feed is contaminated or not shall be done at the prescribed laboratory and a report thereon shall be received from the concerned official of that laboratory

9. Information shall be forwarded when an official is relieved of his/her office

9. Information shall be forwarded when an official is relieved of his/her
office:

(1) In case an official of a constitutional body is relieved of his/her office by any manner, the concerned constitutional body shall forward it to the secretariat
within a period of Seven days from the date of his/her relief and shall also give information thereof to the concerned Ministry.
(2) The Secretary shall, after receiving the information pursuant to Sub- section (1) in the Secretariat, inform the matter to the Chairperson as soon as
possible.

10. The functions, duties and powers of secretary

10. The functions, duties and powers of secretary:

1) Save as provided by this Act elsewhere, the other functions, duties and powers of the secretary shall be as
follows:
(a) To call the meeting as per the direction of chairperson.
(b) To implement or cause to implement the decision made by the council.
(c) To maintain up to date record to be kept in the secretariat and to arrange and manage for systematic and secured record.
(d) To monitor, control, supervise and co-ordinate the act and activities to be performed by the secretariat and to depute the
employees for their work upon making job assignment.
(e) To authenticate the record of the council.
(f) To liaise and co-ordinate with the various bodies of Government of Nepal and with other bodies as per necessity.
(2) Save as provided by Sub-section (1) other functions, duties and powers of secretary shall be as prescribed by the council.

14. Investigation and filing of case:

14. Investigation and filing of case:

(1) The feed inspector shall investigate a case related with the offence under this Act and, upon completing the
investigation, shall file the case before the Adjudicating Authority.

(2) In investigating and filing the case pursuant to Sub-section (1), the feed inspector may seek opinion of the government attorney.

14. Repeal

14. Repeal:

(1) Procedures of the appointment for the officials of constitutional organs and the functions, duties, powers and procedures of the Council Rules,
2065 are, hereby, repealed.
(2) An act or activity taken or done pursuant to the procedures of the appointment for the officials of constitutional organs and the functions, duties,
powers and procedures of Constitutional Council Rules, 2065 shall be deemed to have been taken or done pursuant to this Act.

Nepal Electricity Authority Act, 2041 (1984)

Date of Authentication and Publication
27 Kartik 2041 (Nov.12, 1984)
1. Administration of Justice Act, 2048 (1991) 2048/2/16
2. Nepal Electricity Authority (First Amendment) Act, 2049 (1984) 2049/7/6 Act number 18 of the year 2041 (1984)
An Act made to provide for the Establishment and Management of Nepal Electricity Authority
Preamble : Whereas it is expedient to enact legislation for the establishment and management of the Nepal electricity Authority to make arrangements for power
supply by generating, transmitting, and distributing electricity in an efficient, reliable and convenient manner.
Now therefore, His Majesty King Birendra Bir Bikram Shah Dev has enacted this Act on the advice and with the approval if the National Panchayat .

Chapter 1 

Chapter 1 Preliminary
1. Short Title and commencement :

(1) This Act may be called the Nepal Electricity Authority Act, 2041(1984).
(2) It shall come into force from such date as may be prescribed by Government of Nepal by notification in the Nepal Gazette. ♠

2. Definitions : In this Act, Unless the subject or the context otherwise requires:-
(a) “Customer” means a person who consumes electricity.
(b) “Authority” means the Nepal Electricity Authority established under Section 3.
♠
It came into force on 2042.5.1 (August 17, 1985) by a notification published in the Nepal Gazette dated 2042.5.1 (August 18, 1985).

(c) “Electricity” means electric power generated by means of water, diesel, coal, or through any other technology.
(d) “Fee” means the electricity fee to be collected from customers in consideration of supply of power by the Authority.
(e) “Board” means the Board of Directors formed pursuant to Section 8.
 (e1) “Unauthorized consumption” means consumption of electricity from the power system of the Authority without obtaining its
permission or in violation of the conditions to be compelled with by consumers while consuming electricity, or pilferage of
electricity
(f) “Prescribed” or “as prescribed” means prescribed or in the manner prescribed in Bye-laws framed under this Act.

Chapter 2 

Chapter 2 Establishment, cabinet and Management
3. Establishment of the Authority :

(1) The Nepal Electricity Authority has been established for the purpose of making appropriate arrangements to supply power by generating, transmitting and distributing electricity in an efficient  and reliable manner and in such a way that it is available to all.
(2) In English language, the Nepal Vidyut Pradhikarana shall be called the Nepal Electricity Authority.
(3) The head office of the Authority shall be located in Katmandu.

4. Corporate Body :

(1) The Authority shall be an autonomous corporate body with perpetual succession.
(2) The Authority shall have a separate seal of its own.
(3) The Authority may acquire, possess, sell or otherwise dispose of movable and immovable property like an individual.
(4) The Authority may sue or be sued in its own name like an individual.

__________________________
 Inserted by First Amendment.

5. Share Capital and Shareholders :

(1) The initial authorized share capital  of the Authority shall be as prescribed by Government of Nepal by notification in the Nepal Gazette, and such capital shall be divided into shares in the number as prescribed therein.
(2) The Authority may increase or reduce its initial authorized share capital with the permission of Government of Nepal and in case the Share
Capital of the Authority is reduced, the nominal value of the Share Capital, shall also be reduced in proportion to the Share Capital.
(3) Only the shares left unsubscribed after the purchase of shares by Nepal Government from among those issued by the Authority shall be offered
for public sale.
(4) The liability of shareholders of the Authority shall be limited.
(5) Each share shall be indivisible, and each shareholder shall be entitled to cast one vote for each share subscribed by him/her at the general
meeting of shareholders,

 5A. Power to purchase shares
: The Authority may purchase share of industries connected with Electricity in accordance with the resolution passed by the general meeting after arrangements have been made for such meeting, and with the approval of Government of Nepal until arrangements are made for such meeting.

6. Debentures : The Authority may issue debentures according to the resolution passed by the general meeting have been made, and, until then, with the
approval of Government of Nepal.

7. Loans or Grants : The Authority may obtain necessary loans in cash or in kind or accept grants for use as working capital according to a resolution
adopted by the general meeting after arrangements have been made for such meeting, and, until then, with the approval of Government of Nepal.

8. Formation of Board of Directors :

There shall be a Board of Directors to operate, supervision, and manage the entire business of the Authority. Board of Directors shall exercise all the powers and discharge all the duties of the Authority under this Act and the Bye-laws framed thereunder.

9. Directors :

(1) The Board of directors shall consist of eight directors, who shall be elected by the general meeting. One person chosen by the elected directors from among themselves shall be the Chairperson of the Board of Directors.
(2) Government of Nepal or any corporate body may nominate directors in proportion to the shares subscribed by it and the rights and liabilities of such
nominated directors shall be the same as those of elected directors.
♣ (3) Notwithstanding anything contained in Sub-Section (1) until arrangements are made for the election of directors by the general meeting, the
Board of Directors shall consist of the following members:
(a) Minister or Minister of state of water resources, or a person designated by
–
Chairperson
(b) Secretary, Ministry of Water Resources – Member
(c) Secretary, Ministry of Finance – Member
(d) A person nominated by Government of Nepal
from among persons engaged in the fields of
industry, commerce or finance
–
Member
(e) A person nominated by Government of Nepal from among consumers of electricity
–
Member
(f) Two person nominated by Government of Nepal from non-governmental persons specializing in the field of electricity
–
Member
(g) Executive Director, Authority – Member Secretary
♣ (4) The nominated members of the committee shall have a tenure of
four years.
Provided that, Government of Nepal may, if it becomes so necessary, remove such members before the expiry of their term or nominate other
persons to replace them.

________________
♣ Amended by First Amendment.

(5) The tenure of directors elected by the general meeting shall be four years, and they may be reelected as directors for a maximum of two
consecutive terms on the expiry of their four-year term.
Provided that, the tenure of four out of the eight directors elected for the
first time shall be fixed at two years by drawing lots.

10. Disqualifications of Directors : None of the following persons shall be or continue as a director:
(a) Any paid office bearer of the Authority,
Provided that, this Clause shall not be applicable to the executive Director appointed by the Government of Nepal,
(b) One who is insolvent,
(c) A lunatic,
(d) One who has convicted of a criminal offense involving moral turpitude,
(e) One who is a direct or indirect partner in any contract executed with the Authority.

11. Power to Remove Directors :

(1) A director elected by the general meeting may be removed by a majority of the shareholders present at the
general meeting in the following circumstances:
(a) In case he/she suffers from any of the disqualification mentioned in Section 10.
(b) In case he/she remains absent from three consecutive meeting of the Board without any reasonable explanation and without
the permission of the Board.
(2) ………… ∝
(3) The directors shall ioso facto leave the Board in the following
circumstances:
(a) In case their resignation from membership is accepted.
(b) In the event of death.
∝

12. Vacancies in posts of Directors to be filled up : In case, the post of any director falls vacant by reason of his/her death, resignation or otherwise, it
shall be filled up only for the remaining term of the predecessor.

13. Action not to be invalidated : In case, the Board has taken any action even though there had been any shortcomings in the formation of the Board, or the
post of any director had remained vacant, such action shall not be invalidated merely by reason of such shortcomings or vacancy.

14. Remuneration of directors : The remuneration and facilities of directors shall be as prescribed.
Provided that, the members mentioned in Sub-Section (3) of Section 9 shall not be entitled to any remuneration rather they shall be paid meeting
allowance.

15. Meeting of the Board :

(1) Meeting of the Board shall be held at the prescribed date, time and venue.
(2) The quorum for a meeting of the Board shall be deemed to have been fulfilled if it is attended by more than fifty percent of the total number of
directors.
(3) Meeting of the Board shall be presided over by the Chairperson of the Board, and, in his/her absence, by a person chosen by the attending
directors from among themselves.
(4) The opinion of the majority shall be biding at meeting of the Board. In case there is a tie, director presiding the meeting shall cast the casting vote.
(5) Other procedural matters relating to meeting of the Board shall be as prescribed.

16. Commercial principles to be followed : while discharging the functions of the Authority, the Board shall follow commercial principles with due
consideration to the convenience of the public as well.

17. General Manager or Executive Director, Adviser, and Other Staff :
(1) For the purpose of managing the business of the Authority, the Board may appoint, a General Manager to function as chief Administrative
officer and advisers, and employees as per necessity.
Provided that, Government of Nepal may appoint an Executive Director to function as chief Administrative officer until arrangements are made for
holding the general meeting.
(2) The remunerations, facilities, and other conditions of service of the General Manager or Executive Director, advisers, and other employees of the
Authority shall be as prescribed.

18. Restrictions on General Manager or Executive Director : No General Manager or Executive Director of the Authority shall become a partner directly
or otherwise in any contract concluded with the Authority.

Chapter 3

Chapter 3
Functions, Duties, and powers of the Authority

19. Function and Duties of the Authority :

The functions and duties of the Authority shall be as follows:
(a) To recommend to Government of Nepal for the formulation of long-term and short-term policies regarding power supply.
 (a1) To supply electricity by generating, transmitting or distributing it pursuant to the prevailing law.
(b) To formulate projects relating to power generation, transmission, and distribution and other related functions and build, operate,
protect, and consolidate necessary power generation centers, sub- stations, distribution lines, and related facilities for the
implementation of such projects.

__________________________

Inserted by First Amendment.

(c) To make arrangements for generation, transmission, and supply of electricity of suitable standard in economically feasible areas
for industrial and agricultural development and for the benefit of the people.
(d) To determine electricity fees and other electricity related service charges.
(e) To conduct or cause to conduct necessary research in power generation, transmission and distribution.
(f) To make arrangements for advanced training and studies with the objective of preparing skilled human resource in respect to
power generation, transmission and distribution of electricity.
TM (f1) To provide technical advice and consultancy in matters connected with the work of generation, transmission and
distribution of electricity.
(g) To perform other functions necessary for the fulfillment of the objectives of the Authority.

20. Power of the Authority :

(1) The power of the Authority shall be as follows:
(a) To seek loans from local institutions, banks or individuals.
(b) To seek loans from foreign government or foreign or international agencies.
(c) To collect electricity fees and services charges from customers.
(d) To sell electricity to the foreign countries or to purchase electricity from the foreign countries.
(e) To invest the funds of the Authority.
 (e1) To control the unauthorized consumption of electricity distributed by the Authority.
(f) To purchase electricity generated in the private sector.
(g) To perform all such other functions as are indispensable and necessary for the performance of its functions and fulfillment of
its duties.

_________________

Inserted by First Amendment.

(2) The Authority shall obtain the prior approval of the Government  of Nepal while exercising its powers mentioned in Clauses (b) and (d) of
Sub-section (1)

21. Land Acquisition : The Government of Nepal may acquire necessary lands and hand them over to the Authority according to the prevailing law in case the
Authority requires such lands for the following purposes:
(a) Construction of dams or embankments.
(b) Construction of canals and channels.
(c) Construction of canals and channels.
(d) Construction of power generation, transmission and distribution centers and Sub-Sections.
(e) Installation of electric cables or transmission lines either over or underground.
(f) Erection of electricity poles.
(g) Construction of other electricity-related facilities.
(h) Performance of any other function to fulfill the objective of the Authority.

22. Entry into the House of other persons : In case it becomes necessary for any person authorized by the Authority to enter into the house or land
belonging to any other person in connection with the business of the Authority, he/she may do so after giving advance notice to the person who is in
possession of such house or land at the time.
Provided that, no such advance notice shall be necessary in case he/she has reason to suspect misuse or pilferage of electricity, or in case it becomes
necessary for him/her to undertake urgent repair work or to overt any accident.

23. Power to Cut off Electricity Lines :

(1) In case any customer fails to pay fees, fines, compensation, additional charges, other charges and any other amounts due to the Authority within the prescribed time-limit,  or makes

_________________
 Inserted by First Amendment.

unauthorized consumption of electricity, the Authority may cut off the Electricity Lines supplied to such customer.
(2) ………… ∝

 23A. Power to collect compensation, Extra-charges or Fines : In case a customer or any other persons consumes electricity in an unauthorized
manner, or a customer fails to pay the electricity charges within the prescribed time-limit, the Authority may collect fines, compensation or extra-charges as
prescribed from such customer or person consuming electricity in an unauthorized manner.

24. Prohibition to Dispose of property : The Authority shall not be entitled to sell or otherwise transfer any immovable asset, and any movable asset worth
more than One Hundred Thousand Rupees to any other person without the prior approval of the Government of Nepal.
Provided that, it shall not be necessary to obtain the prior approval of Government of Nepal for the auction of such goods as are deemed obsolete or
otherwise unserviceable.

25. Power to issue Directives :

(1) Government of Nepal may issue the following directives to the Authority:
(a) To operate any power service or perform any other function, specifying or without specifying any area for the purpose.
(b) To suspend, or make any change in, or fully stop any work being done or action being taken by the Authority in any area.
(c) To refrain from taking any action which the Authority intends to take.
(2) It shall be the duty of the Authority to comply with the directives issued by Government of Nepal under Sub-Section (1).
(3) In case, the Authority suffers losses as a result of compliance with the directives issued by Government of Nepal under Clause
♣ (a) and (b) of

__________________
∝ Deleted by First Amendment.
♣ Amended by First Amendment.

Sub-Section (1), Government of Nepal shall pay compensation to the Authority to the extent of such losses.

26. Annual Report : Every year, after audit is completed, the Authority shall submit to Government of Nepal its Annual Report containing the following
particulars, along with the auditor’s report:
(a) Particulars regarding plans for the implementation of policies relating to power supply,
(b) Detailed particulars about the status of projects being operated by the Authority,
(c) Financial particulars of estimated expenditure and sources of income of the Authority for coming five years,
(d) Particulars regarding implementation of directives received from Government of Nepal,
(e) Such other particulars as the Authority may deem appropriate.

27. Delegation of Authority : The Authority may delegate any of its powers to the Chairperson of the Board, any director or member, a sub-committee, or to
the General Manager or Executive Director, or any other employee of the Authority.

Chapter 4 

Chapter 4 General Meeting
28. General Meeting :

(1) After shares worth at least ten percent of the total issued share capital of the Authority have been subscribed by the public, the annual general meeting shall be held at the head office of the Authority within three months from the date when the audit report is received after the annual audit of accounts.
(2) An extraordinary general meeting of the Authority may be held at any time if shareholders who have subscribed to the shares worth at least ten
percent of the total paid capital request in writing, or if the Board so deems necessary.

(3) The quorum for a general meeting shall be deemed to have been fulfilled if twenty-five percent of the total number of shareholders’ registered in
the such Register attend it personally or by proxy.
(4)The annual general meeting shall discuss the profit and loss account and the balance-sheet of the Authority, the auditor’s report, and the Board’s
report in relation to the business of the Authority during the year.
(5) Any shareholder whose name is registered in the shareholders’ Register may cast his/her vote at the general meeting either personally or
through another shareholder whom he/she has dully designated as his/her proxy for the purpose.
Provided that, no shareholder who has failed to pay the amount due on shares in respect to which calls have been made by the Authority shall be
entitled to cast his/her vote in this manner.
(6) The general meeting shall be presided over by the chairperson of the  Board, and if absent, by a person elected by the majority of the attending
shareholders from among themselves.

Chapter 5

Chapter 5 Fund and Audit

29. Fund of the Authority :

(1) The Authority shall have a separate fund of its own. The capital of the Authority and all other amounts received by it  including loans and grants shall be credited to this Fund.
(2) All expenses of the Authority shall be borne from the Fund.
(3) The Fund of the Authority and its financial administration shall be operated as prescribed.

30. Accounts and Audit :

(1) The accounts of the Authority shall be maintained according to the procedure approved by the Board.
(2) Until the preliminary meeting is held, the accounts of the Authority  shall be audited by the Auditor-General, or by an auditor designated by
him/her After arrangements have been made for the general meeting, the accounts shall be audited by an auditor, designated by the general meeting.

31. Formation of advisory committee :

(1) The Authority may form an Advisory Committee in the prescribed manner.
(2) The function and duties of the Advisory Committee formed under Sub-section (1) shall be as prescribed.

32. Exemption from local Taxes : The business of the Authority shall be exempt from local taxes of any category.

 32A. P ower to Realize dues as Government arrears : The charges, fines, compensation and extra-charges due from any person or customer under this
Act or the Bye-laws framed hereunder may be realized by the Authority as government arrears.

33. Oath of Honesty and Secrecy to be taken : Every director or member of the Authority, the auditor, the General Manager or the Executive Director, and
other office-bearers and employees shall, before assuming charge, take oath of secrecy in the form indicated in the schedule.

34. Dissolution of Authority :

(1) In the following circumstances, the Government of Nepal may order the dissolution of the Authority and appoint one or more liquidator to dispose its assets.
(a) In case shareholders subscribing to at least twenty-five percent of the paid-up share capital of the Authority demand in writing the
dissolution of the Authority along with reasonable ground for doing so.
(b) In case Government of Nepal is satisfied that the business of the Authority is not being conducted smoothly, or that its assets are
being misappropriated, or that the Authority has repeatedly flouted the directives of Government of Nepal.
(2) The order issued by Government of Nepal for dissolution of the Authority shall be final.

 

_______________

Inserted by First Amendment.

35. Power to Frame Bye-laws : For the purpose of managing its business, the Authority may frame necessary bye-laws without prejudice to this Act.

♣ 36with the Government of Nepal : The Authority may establish contacts with the Government of Nepal through the Ministry of Water
Resources in connection with policy matters and with concerned agencies of the Government of Nepal directly in connection with other matters.

37. Transfer of Assets and Liabilities :

(1) After the commencement of this Act, projects operated by Government of Nepal or by Development Boards formed under the Development Boards Act,2013 (1956) shall be handed over to the Authority after an evolution of the assets of such projects.
Provided that, in case such projects are required to be handed over before they are completed, evaluation of their assets shall be done only after
their completion.
(2) In case any project operated with a loan provided by a foreign government, or a foreign agency, or an international agency, has to be handed
over to the Authority under Sub-Section (1), this shall be done on the condition that the Authority pays necessary funds to Government of Nepal on terms
prescribed by Government of Nepal in consideration of the principal and interest to be paid by Government of Nepal in respect to such loan.
Provided that, the Authority has to make available the shares to Government of Nepal in consideration of the principal and interest paid and
expenses incurred by the Government of Nepal.
(3) In case, projects operated with aid or grants obtained from a foreign government or a foreign agency, or an international agency have to be handed
over to the Authority under Sub-Section (1), this shall be done on the condition that the Authority makes shares available to Government of Nepal in
consideration of the assets of such projects.

_________________
♣
Amended by First Amendment.

38. Repeal and Devolution of Assets and Liabilities :

(1) Nepal Electricity corporation Act, 2019 (1962) has been repealed, and the Nepal electricity corporation formed thereunder has been dissolved.
(2) All movable and immovable assets and liabilities of the Nepal Electricity Corporation dissolved under Sub-Section (1) shall accrue to the
Authority.

39. Adjudicating Authority : The original jurisdiction in respect to cases in which the Authority is a plaintiff or defendant shall vest in the
♥ Appellate court.

 39A. Immunity for Action taken in Good Faith : The General Manager, the Executive Director, or other employees of the Authority shall not be held
personally liable for any action taken by them in good faith while discharging their duties under this Act.

40. Applicability of Other Current Laws : In matters provided for in this Act, action shall be taken accordingly, and, in other matters, action shall be taken
according to prevailing laws.
__________________________________________
Amended by Administration Justice Act, 2048.
 Inserted by First Amendment.

Note : The words changed by The Act Amending Some Nepal laws, 2063 :- “Government of Nepal” Instead of “His majesty’s Government”

Schedule

Schedule
Pertaining to section 33
Oath of Honesty and Secrecy
I. … …. swear that I shall discharge my duties to the best of my ability and faithfully in my capacity of director/member/auditor/officer/employee of the
Authority, or in all matters connected with my post in the Authority. I also swear that I shall not disclose or order the disclosure of any confidential
information relating to the Authority to any unauthorized person, or let any such person inspect or accept any book or document in the possession of or relating to the Authority.

Amendments

Amendments

Date of Authentication Date of Publication
1. Interpretation of laws (Amendment) Act, 2011 2011.12.1 2012.3.6
2. Some Nepal Acts (Amendment Rearrangement) Act, 2020 2020.11.16 202.11.16
3. Repeal and Amendment Act, 2022 2022.12.10
4. Some Nepal Acts Amendment Act, 2053 2053.8.12 2053.8.12
5. Some Nepal Laws Amendment Act, 2063 2063.6.28 2063.6.28
6. Some Nepal Acts Providing for Gender
equality Amendment Act, 2063 2063.7.17
An Act Providing for the Interpretation of Nepal Laws
[Preamble] ⊕ :Whereas, it is expedient to provide for authentic definition of some
legal words and phrases.
Now, therefore, be it enacted and promulgated upon exercising the state
power and Royal Privileges by His Majesty the king.

2. Definitions

2. Definitions:

In this Act and other Acts prevailing in Nepal, unless the subject or context otherwise requires;
(a) ‘Act (act)’ – “act” used with reference to an offence or a civil wrong shall include a series of acts, and words which refer to acts does
extend also to illegal omissions.
(b) “Chapter” means a Chapter of the Act/Enactment in which the word occurs.
⊕ The word ‘Preamble’ does appear in this Act.
(c) “Commencement” used with reference to an Act/Enactment shall mean the day on which the Act/Enactment comes into force.
(d) “Document” shall include any matter written, expressed or described upon any substance by means of letters, figures, marks or by more
than one of those means which is intended to be used or which may be used, for the purpose of recording that matter.
(e) “Act”/”Enactment” this expression shall mean an Act/Enactment or sawal and any provision contained in any Act/Enactment or Sawal.
(f) “Father” in the case anyone permitted for adoption pursuant to the law, shall include the adoptive father.
(g) Financial Year- shall mean the year commencing on the first day of SHARAWAN .
(h) A thing shall be deemed to be “done in good faith” where it is in fact done honestly, whether it is done negligently or not.
∇ (i) “Government of Nepal” means-
(a) His Majesty the King, who acted with the advice of the Ministers when there existed a cabinet pursuant to the Interim Constitution
of Nepal; and with the advice of members of council of Ministers when cabinet was not in existence in relation to functions performed from the date of commencement of Interim Constitution to Ashad 15, 2016 B.S.;
(b) His Majesty the King who acted in recommendation of the cabinet or in recommendation of Minister so authorized by the Prime Minister to act upon accordingly in any issue pursuant to the Constitution of the Kingdom of Nepal and by exercising the other powers mentioned in the said constitution in the case when
∇ Amended by the Some Nepal Acts (Amendment Rearrangement) Act,2020 cabinet was not in existence, in relation to the functions
performed or to be performed from Ashad 16, 2016 B.S. to the last day of Mansir 2019 B.S.
♥ (c) His Majesty the King, who acted with the advice of the council of Ministers pursuant to the Constitution of Nepal or upon excising the powers mentioned in Article 81A of the said constitution in the time of Emergency in relation to the functions performed or to be performed from Poush 1, 2019 B.S. to Kartik 22, 2047.
♣ (d) His Majesty the King and council of Ministers who exercised the executive powers of the kingdom of Nepal pursuant to the Constitution of the Kingdom of Nepal 2047 (1990).
 (e) The Council of Ministers who exercised the executive power of Nepal pursuant to the Constitution of the Kingdom of Nepal 2047, Declaration of the House of Representatives, 2063 and the prevailing laws for the acts done or to be done since 4 th Jestha 2063.
∇ (j) Words mentioned in relation to His Majesty the King – (a) Regarding the functions performed before 16 Ashad 2016.

1. The Council of Regency Constituted pursuant to Council of Regency Act 2010 (1954) and Council of Regency Act 2011 (1955).

_______________________________________
♥ Amended by the Some Nepal Acts Amendment Act, 2053
♣ Amended by the Some Nepal Laws Amendment Act, 2063
 Inserted by the Some Nepal Laws Amendment Act, 2063
∇ Amended by the Some Nepal Acts (Amendment Rearrangement) Act, 2020

 

2. The Crown prince who performed the functions upon exercising the authority granted by His Majesty the king
on 7 th Falgoon 2007 and Royal prorogating, and

3. Royal Representative appointed pursuant to Royal Authority Delegation Act, 2012 (1956), and
(b) A person who exercised or who was authorized to exercise the powers of His Majesty the king Pursuant to the Constitution of the kingdom of Nepal regarding the functions performed or to be performed from 16 th Ashad 2016 to the last day of Mansir
2019.
♥ (c) Rajaya Sahayak or Rajaya sahayak Parisad pursuant to the Constitution of Nepal or person or persons exercising authority under Article 22 A of the said Constitution regarding functions Performed or to be performed from 1 st Poush 2019 B.S.
(Dec.16,1962) to 22 nd Kartik, 2047 B.S.(Nov.8,1990)

∑ (d) “The Rajya Sahayak or Rajya Sahayak Parisad pursuant to Article 34 or Raj Pratinidhi or Raj Pratinidhi parishad pursuant to Clause (2) of Article 32 of the Constitution of the Kingdom of Nepal 2047 for the acts done or to be done since 23 rd Kartik
2047.
(k) “Immovable Property” shall include land, benefits to arise out of land and things attached to the earth or permanently fastened to anything
attached to the earth.

________________________________
♥ Amended by the Some Nepal Acts Amendment Act, 2053
∑ Inserted by the Some Nepal Acts Amendment Act, 2053

∇ (l) “Nepal Act” means any Act promulgated by His Majesty the king after Falgoon 7 of 2007 B.S. (Feb.18,1951), and any “Act” made in
accordance with the Interim Constitution, 2007, (1951) Constitution of Kingdom of Nepal, 2015 (1959) Constitution of Nepal 2019
(1962) Constitution of Kingdom of Nepal 2047 or  Constitution of
Kingdom of Nepal, 2047 and Declaration of the House of Representatives, 2063.
(m) “Nepal Law” shall means any Nepal Act or any Enactment, Sawal Rules/Regulation, order or By-laws to be implemented as good as
laws in any part of Nepal.
(n) “Month” shall mean a month reckoned from Sankranti (First day) according to the Nepalese Panchanga (Calendar).
(o) “Movable Property” shall mean property of every description except immovable property.
(p) “Oath” shall include affirmation and declaration in the case of persons by law allowed to affirm or declare instead of swearing.
(q) “Offence” shall mean any act or omission made punishable by any law for the time being in force.
(r) “Part” shall mean a part of the Act/Enactment in which the word occurs.
(s) “Person” shall include any company or association or body of individuals, whether incorporated or not.

____________________________________
∇ Amended by the Some Nepal Acts (Amendment Rearrangement) Act,2020
 Inserted by the Some Nepal Laws Amendment Act, 2063

(t) “Prescribed” means prescribed in or as prescribed by the Rules framed under any Act in case the expression “Prescribed” in being mentioned
in any ‘Act’/’Enactment’.
(u) Rules/Regulation shall mean a Rule made in exercise of a power conferred by an Act /Enactment, and shall include a by-law made as
good as rule/regulation made under any act/enactment.
(v) Schedule” shall mean a schedule to the Act /Enactment in which word occurs.
(w) “Section” shall mean a Section of the Act/Enactment in which the word occurs.
(x) “Sign” with its grammatical variations and cognate expression, shall, with reference to a person who is unable to write his/her name,
include ‘finger print’ (mark) with its grammatical variations and cognate expressions.
(y) “son” shall include an adopted son in the case of anyone who is permitted for adoption.
 (y1) “Daughter” shall include an adopted daughter in the case of anyone who is permitted for adoption.
(z) “Sub-section” shall mean a Sub-section of the Section in which the word occurs.
(aa) “Will” shall include a codicil and every writing making a voluntary posthumous disposition of property.
(ab) “Writing” shall be construed as including references to printing, lithography, photography and other modes of representing or
reproducing words in a visible form.

 Inserted by the Some Nepal Laws Amendment Act, 2063

(ac) “Year” shall mean a year reckoned according to the Nepalese Panchanga (Calendar) that is which starts from Sankrati (First day) of
Baisakh

3. Regarding , the date of commencement of the Act

3. Regarding , the date of commencement of the Act:

In case the date of commencement is not mentioned in any Act/Enactment, it shall be as followings:
(a) From the Date of Approval of His Majesty the king regarding the Act/Enactment made pursuant to the Interim Constitution of Nepal
2007.
(b) From the date of Authentication by His Majesty the King in case of other Nepal Acts/Enactments  upto 3 rd Jestha 2063 B.S.
 (c) From the Date of authentication by the speaker of the House of Representatives in relation to the Acts//Enactments made after 4 th  Jestha 2063.
Provided that, No one shall be punished for any Commission or ommission of any punishable act committed or omitted before the publication of those Acts/Enactments in the Nepal Gazette.

4. Effect of Real

4. Effect of Real:

Where any Nepal Act repeals any enactment hitherto made or hereafter to be made, then, unless a different intention appears, the repeal
shall not-
(a) revive anything not in force or existing at the time at which the repeal takes effect;

_________________________________
 Inserted by the Some Nepal Laws Amendment Act, 2063
? Deleted by the Some Nepal Laws Amendment Act, 2063
 Inserted by the Some Nepal Laws Amendment Act, 2063

(b) affect the previous operation of any Act/Enactment so repealed or anything duly done or suffered thereunder; or
(c) Affect any right, privilege obligation or liability acquired accrued or incurred under any enactment so repealed; or
(d) affect any penalty, forfeiture or punishment incurred in respect of any offence committed against any Act/ Enactment so repealed; or
(e) affect any investigation, legal proceeding or remedy in respect of any such right, privilege obligation. liability, penalty forfeiture or
punishment as aforesaid; and any such investigation, legal proceeding or remedy may be instituted, continued or enforced, and any such
penalty, forfeiture or punishment may be imposed of if the repealing Act/ Enactment had not been passed.

5. Repeal of Act making textual amendment in Act or Rules/Regulation/ bye laws

5. Repeal of Act making textual amendment in Act or Rules/Regulation/ bye laws : Where any Act repeals any enactment by which the text of any Act or Rules/Regulation/bye law was amended by the express omission, insertion or substitution of any matter, then unless a different intention appears the
repeal shall not affect the continuance of any such amendment made by the enactment so repealed and in operation at the time of such repeat.

16. Appeal:

16. Appeal:

A person who is not satisfied with a decision made by the Chief District Officer pursuant to Section 15 may file an appeal against the decision in the Court of Appeal2 within Thirty Five days

17. Power to frame Rules:

17. Power to frame Rules:

The Government of Nepal may frame Rules to implement the objectives of this Act.

Note bene:

Places and dates of the commencement of this Act:

1. By a Notification dated 2047.2.28 (11 June 1990), in Chitwan, Kaski and upandehi Districts on that date viz. 11 June 1990.

2. By a Notification dated 2054.5.2 (18 August 1997), in the following Districts on that date viz. 18 August 1997:

2 Amended by Administration of Justice Act, 2048.

(1) Kavre                                                                                                      (16) Rautahat
(2) Sindhupalchok                                                                                     (17) Sarlahi
(3) Nuwakot                                                                                                (18) Mahottari
(4) Dhading                                                                                                 (19) Dhanusa
(5) Rasuwa                                                                                                  (20) Siraha
(6) Syangja                                                                                                  (21) Saptari
(7) Palpa                                                                                                      (22) Jhapa
(8) Tanahun                                                                                                (23) Ilam
(9) Gorkha                                                                                                   (24) Dhankuta
(10) Gulmi                                                                                                   (25) Daang
(11) Arghakhanchi                                                                                     (26) Banke
(12) Baglung                                                                                               (27) Bardiya
(13) Kapilvastu                                                                                           (28) Surkhet
(14) Nawalparasi                                                                                        (29) Kailali
(15) Bara                                                                                                      (30) Kanchanpur

8. Commencement and Termination of Time

8. Commencement and Termination of Time : In any Nepal Act, it shall be  sufficient, for the purpose of excluding the first in a series of days or any other period of time, to use the word “from”, and, for the purpose of including the last in the series of days or any other period of time, to use the word.

9. Reckoning of Time

9. Reckoning of Time : Where by any Nepal Act, any act or proceeding is directed or allowed to be done or taken in any court or office on a certain day or within on prescribed period, then, if the court or office is closed on that day or the last day of the prescribed period, the act or proceeding shall be considered as done or taken in due time, if it is done or taken ∑ ∑ on the first day afterwards on which the court or office in open.

11. Duty to be Taken prorata in enactments

11. Duty to be Taken prorata in enactments : Where, by any enactment now in force or hereafter to be in force, any duty, excise, or tax in the nature
thereof, is leviable on any given quantity, by weight, measure or value of any goods or merchandise, then a like duty is leviable according to the same rate
on any greater or less quantity.

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