: (1) The Commission shall perform the following actions in relation to determining tariffs and regulating the purchase and sale of electricity:-
(a) Considering operating expenses, depreciation rate, interest payment, maintenance expenses, electricity structure construction, reconstruction, rehabilitation and returns received annually for share investment including power purchase agreement and determining the conditions and basis of electricity tariff rate determination. Determining the fee to be paid by the consumer.
(b) To determine the rate and procedure of electricity purchase and sale between the person who has received the distribution license and the person who has received the production license or the person who has received the business license or the organized organization established by the Government of Nepal in accordance with the prevailing law.
(c) To agree to enter into a power purchase agreement between the persons who have received the license to buy and sell the produced electricity.
(D) To identify and implement necessary measures to minimize the cost of electricity (e) Determining transmission and distribution charges (wheeling charges).
(f) To determine additional fees (surcharge) in the electricity tariff for a certain period of time in matters related to electricity service under special circumstances.
(2) According to sub-section (1), the Commission shall complete the fee determination within sixty days from the date of receipt of all documents.
(3) After determining the fee according to sub-section (1), the Commission shall publish a notice in the national level newspaper.
(4) Electricity tariff shall not be determined again within one year from the date of tariff determination according to this section.