National Association of Community Electricity Users-Nepal, (NACEUN)

The National Association of Community Electricity Users-Nepal, (NACEUN) is a national federation of Community Rural Electricity Entities (CREEs). Since its establishment in 2005 under the NGO registration act, NACEUN has grown into a strong network comprising of over 300+ CREEs from 53 districts in Nepal. Currently, 5,35,000 households have been electrified by this community rural electrification programs; likewise 1,50,000 additional households will have electricity access after completion of under construction projects in different districts. It has 17 district chapters and 6 province chapters. We are committed to ensure a future where every Nepali, irrespective of caste, gender and position in the community has access to clean, affordable and reliable electricity and the members benefit from its productive end use.
The CREEs are established through community’s participation after they contribute 10% of total estimated cost of electrification, 90% of which is covered by government. They regulate electricity distribution service to their consumers independently after the infrastructure is handed over to them. CREEs buy electricity in bulk from NEA and distribute it to remote consumers allowing them to be connected with technologies and opening the door to local employment. NACEUN has extended reach to the grass root communities of the CREEs through awareness and sensitization program in regards of technology, livelihood, social taboos, health and environment conservation.
NACEUN and Practical Action Consulting (PAC) Nepal have partnered to support ambitions of NACEUN. PAC Nepal is assisting NACEUN through capacity development support (by working together with relevant NACEUN staff in addition to providing technical assistance in a project) in project planning, implementation and learning. NACEUN is a nationally renowned energy distribution network of community owned institutions and have established its remarkable presence in energy sector of the country extending its position in government’s influencing committee like Electricity Tariff Fixation Committee, Steering Committee of Community Rural Electrification Department, CRED, NEA. The role of NACEUN starts right from the electrification process to capacity building, strengthening, sheltering and supporting the CREEs. NACEUN promotes this program in the inaccessible corners of the country. Moreover, policy review, research, lobby, advocacy for reform are other important regular activities of NACEUN. NACEUN has been working on access to reliable clean energy and sustainability of CREEs by promoting of productive end use of clean energy through enterprise promotion and increasing individual consumption (clean cooking) and advocates for enabling policies collaborating with different agencies keen on similar interests.

Partner Organizations

  1. GIZ EnDev,
  2. Ajummery Bikash Foundation,
  3. Practical Action Consulting Nepal,
  4. Center for Rural Technology Nepal,


Community Based Rural Electrification Program in Nepal

Electricity is an absolute necessity of development. The country’s first hydroelectric power plant, popularly known as the Pharping Power House (500 KW) started generating electricity in August 1911 A.D. The ensuing pace of generating electricity has been slow – the next plant Sundarijal (600 KW) came on-line only in 1934 and by 2010 only 680 MW or so had been developed. Almost 60 percent of Nepalese do not have access to electricity. In rural areas, the figure could be in the order of a staggering 90 percent. Thus as a milestone, the Community Electrification Distribution Bylaws, 2060, was approved by NEA board in May 2002. This offered an opportunity for individual entrepreneurs and community user groups to buy electricity in bulk from the NEA and manage the distribution service as a community entity. Community Electrification Distribution bylaw’s first goal was to promote people’s participation in rural electrification, distribution and management in an organized way. Secondly, it ensured that 80 percent investment is contributed by GoN and only 20 percent by the consumers. This inspired many entrepreneurs and community groups to work along the lines of community electrification and provide a better life in which economic activity attains momentum by self managing and distributing the electricity for their benefit. This bylaw was subsequently amended in 2008, and now GoN invests 90 percent of the project cost and the community/consumers needs to invest only 10 percent.

Till date 5,35,000 households have been electrified under this program and 150,000 Hhs more will be electrified after the completion of pipeline projects.


The Board members headed by the Chairman governs the organization. Other members, professionals and supporting staff, assist the Chairman according to the guidelines and policy decided by the Board.

The executive committee comprises of 27 members including chairperson, vice-chairperson, secretary, treasurer and and members representing 7 province. There are 17 district Chapters, to form a district committee, at least 5 organizations working in community electricity sector in a district must be the member of association. So far 6 provincial chapters has been established.

The association’s working team is composed of experienced as well as young, competent, qualified, energetic personnel with expertise in various related specialized field for planning, design, implementation and operation and maintenance of community rural electrification and energy related projects. These professionals provide and ensure quality services and products according to the need of the domestic and foreign clients.

The organisation also maintains a roster of qualified experienced individual specialists for providing specialized services.


  1. Social Mobilization
  2. Institutional Development
  3. Gender Equality and Social Inclusion
  4. Agriculture and rural development
  5. Socio-economic development
  6. Environmental conservation/natural resource management
  7. Water and energy
  8. Entrepreneurship development
  9. Local institutional development


NACEUN is working with NEA on policy formulation and preparation of guidelines for various community rural electrification cooperatives from last 15 years. NACEUN has already acquired expertise on preparing guidelines for community rural electrification.

NACEUN has done the optimum utilization of the available resources and management capabilities to accomplish the diverse energy based developmental works in the past years. NACEUN has been actively working on the following themes:

  • Promotion of Productive end use of electricity
    • Enterprise development
    • Electric Cooking
  • Advocacy at national and international level
  • Facilitating support to community
  • Capacity building & social awareness
  • Linesman Training
  • House wiring training
  • Account & Financial Mgmt. Training
  • CREE Management Training
  • Leadership Training
  • Strategic Planning Training
  • Electrical safety Campaign
  • Training on efficient use of electricity
  • Promotion of Electricity based enterprises
  • Community Mobilization
  • Research and development
  • Monitoring & Evaluation of CREE