The country’s largest industry has been closed due to Energy Minister Ghising’s decision, 3,500 workers have been put on leave

Biratnagar — Operations at Nepal’s largest Reliance Spinning Mills in Itahari–12, Sunsari, have been halted for a week after the Nepal Electricity Authority cut the power line due to unpaid dues on the dedicated feeder and trunk line. The line was disconnected on Kartik 4.

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Established in 2051 BS, the mill employs over 3,500 workers and produces more than 100 tons of yarn daily, exporting to countries including Turkey and Japan.

Manager Mahesh Pokharel said, “We cannot operate the industry without electricity. Until power is restored, the mill cannot function.” Businessmen appear to be under stress due to Energy Minister Kulman Ghising’s tough stance on collecting dues for dedicated feeders and trunk lines.

The authority claims an outstanding payment of NPR 75 crore. Pokharel added, “We were paying 6 crore per month, yet now we are left in the dark.”

With operations halted, all 3,500 workers have been placed on leave, and exports have stopped. Pokharel noted, “We were bringing in dollars for the country from exports. Cutting electricity causes losses to the state as well.”

Reliance supplies yarn to over 3,000 textile industries in Nepal and exports around NPR 1 billion worth of yarn annually to India and other countries. Production has now dropped to zero due to the shutdown.