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Nepra Notifies New Performance Rules for Power Distribution

The regulations set measurable, consumer-facing service targets with compensation and outage limits, leaving enforcement and company responses as the next test.

Overview

  • Nepra notified the Nepra Performance Standards (Distribution) Regulations, 2026 on Sunday, August 30, 2026, formally replacing the Performance Standards (Distribution) Rules, 2005.
  • PSDR 2026 requires distributors to report and meet specific metrics such as outage frequency and duration, restoration times, complaint-resolution targets, and power quality standards.
  • The rules introduce Guaranteed Performance Standards that carry direct compensation to consumers for missed deadlines, for example defined time windows and daily payouts for slow repairs and unresolved complaints.
  • Distribution companies must give advance notice of planned interruptions and follow stricter notification and restoration-update rules for large industrial and captive consumers.
  • The regulations expand oversight to company, circle, division and sub-division levels and add requirements for smart meters, distributed energy resources, EV charging and cybersecurity, but real service gains depend on Nepra’s enforcement, data quality and DISCOs’ capacity to comply.