Introduction
In accordance with Article 35(4) of the Constitution of Nepal 2074, every citizen has the fundamental right to access clean and quality drinking water and sanitation services. To respect, protect, and fulfill this right, and to ensure the proper management of drainage and wastewater, the Federal Parliament has enacted the Drinking Water and Sanitation Act, 2079. As per Chapter 6 (Section 28) of this Act, the Drinking Water and Sanitation Tariff Determination Commission has been established. Currently, the Drinking Water and Sanitation Regulations, 2081, have been approved and are in effect.
The primary objective of determining drinking water and sanitation service tariffs is to provide consumers with quality and reliable drinking water and sanitation services at reasonable prices while ensuring consumer protection. The Commission was established as an organized body under Chapter 6, Section 28 of the Drinking Water and Sanitation Act, 2079, and has been fully operational since 2080/09/13 following the appointment of its officials.
The Drinking Water and Sanitation Tariff Determination Commission was officially established on 16th Poush, 2080. According to the Drinking Water and Sanitation Act, 2079, the Commission is responsible for determining the tariffs and service charges consumers must pay for drinking water and sanitation services.
The Commission is tasked with determining the water tariffs and sanitation service fees that service providers can charge consumers, setting wholesale drinking water purchase and sale rates, and establishing the maximum retail price for tanker or bottled water. Additionally, the Commission approves the procedures that service providers must follow when submitting tariff determination applications, collects financial and management performance data of service providers, and sets standards for drinking water and sanitation service charges.
The Commission also conducts studies and research on drinking water and sanitation tariffs, manages consumer complaints and disputes related to tariffs, and provides necessary advice and recommendations to the Government of Nepal regarding drinking water and sanitation services, as stipulated in the Act and regulations.
Providing drinking water and sanitation services in Nepal involves multiple organizations, including Nepal Water Supply Corporation, Kathmandu Valley Water Supply Limited, various water supply boards, and over 2,000 consumer institutions managing drinking water systems. Determining wholesale drinking water purchase and sale rates, as well as setting maximum retail prices for tanker and bottled water, presents significant challenges for the Commission.
Jurisdiction of the Drinking Water Tariff Determination Commission
Any organization, institution, consumer group, company, board, or other organized body that collects, processes, sells, or commercially consumes natural water for sanitation purposes within Nepal’s territory falls under the jurisdiction of this Commission. The proposed regulations further expand this jurisdiction.
The Commission also has the authority to collect tariffs and service fees for drinking water and sanitation services operated and managed by the Government of Nepal, either directly or through organized institutions.
Administrative Functions
The daily administrative functions of the Drinking Water and Sanitation Tariff Determination Commission are carried out under the supervision of the Commission’s Chairperson, with employees assigned by the Government of Nepal. The Chairperson (equivalent to a Special Class Officer) is a full-time position, while two members participate in Commission meetings and activities as needed, as per the regulations.
Programs of the Commission
The primary objective of determining drinking water and sanitation service tariffs is to provide consumers with quality and reliable drinking water and sanitation services at reasonable prices while ensuring consumer protection. The Commission was established as an organized body under Chapter 6, Section 28 of the Drinking Water and Sanitation Act, 2079, and has been fully operational since 2080/09/13 following the appointment of its officials.
The Drinking Water and Sanitation Tariff Determination Commission was officially established on 16th Poush, 2080. According to the Drinking Water and Sanitation Act, 2079, the Commission is responsible for determining the tariffs and service charges consumers must pay for drinking water and sanitation services.
The Commission is tasked with determining the water tariffs and sanitation service fees that service providers can charge consumers, setting wholesale drinking water purchase and sale rates, and establishing the maximum retail price for tanker or bottled water. Additionally, the Commission approves the procedures that service providers must follow when submitting tariff determination applications, collects financial and management performance data of service providers, and sets standards for drinking water and sanitation service charges.
The Commission also conducts studies and research on drinking water and sanitation tariffs, manages consumer complaints and disputes related to tariffs, and provides necessary advice and recommendations to the Government of Nepal regarding drinking water and sanitation services, as stipulated in the Act and regulations.
Providing drinking water and sanitation services in Nepal involves multiple organizations, including Nepal Water Supply Corporation, Kathmandu Valley Water Supply Limited, various water supply boards, and over 2,000 consumer institutions managing drinking water systems. Determining wholesale drinking water purchase and sale rates, as well as setting maximum retail prices for tanker and bottled water, presents significant challenges for the Commission.
Jurisdiction of the Drinking Water Tariff Determination Commission
Any organization, institution, consumer group, company, board, or other organized body that collects, processes, sells, or commercially consumes natural water for sanitation purposes within Nepal’s territory falls under the jurisdiction of this Commission. The proposed regulations further expand this jurisdiction.
The Commission also has the authority to collect tariffs and service fees for drinking water and sanitation services operated and managed by the Government of Nepal, either directly or through organized institutions.
Administrative Functions
The daily administrative functions of the Drinking Water and Sanitation Tariff Determination Commission are carried out under the supervision of the Commission’s Chairperson, with employees assigned by the Government of Nepal. The Chairperson (equivalent to a Special Class Officer) is a full-time position, while two members participate in Commission meetings and activities as needed, as per the regulations.
Programs of the Commission
- Efforts to enhance the Commission’s resources and capacity, including obtaining a separate budget code for financial transactions.
- Initiating legal actions to bring all organizations, institutions, and individuals engaged in water extraction, processing, and sale under the Commission’s regulatory framework.
- Studying the impact on service providers following any increase in water tariffs.
- Conducting studies, analyses, and necessary decisions regarding tariff adjustments.
- Preparing and issuing necessary guidelines.
- Carrying out the Commission’s daily administrative tasks and addressing various arising matters.
- Actively engaging in coordination, communication, and regulatory activities.
- Approving and implementing applicable regulatory frameworks./li>
- Executing all tasks prescribed under Rule 37 of the regulations.