Kathmandu Upatyaka Khanepani Limited (KUKL) (Nepali: काठमाण्डौं उपत्यका खानेपानी लिमिटेड) is a public company registered under the Nepal Government’s Company Act 2063 and operates under the Public-Private Partnership (PPP) modality. According to KUKL’s Articles of Association, the company has the objective to undertake and manage the water supply and sanitation system of the Kathmandu Valley previously operated by NWSC (Nepal Water Supply Corporation) and to provide a quantitative, qualitative and reliable service to its customers at an affordable price.
KUKL is responsible for the operation and management of water and wastewater services in the Valley. It operates the water supply and wastewater services under a License and Leases Agreement with the Kathmandu Valley Water Supply Management Board (KVWSMB) for 30 years. KUKL is responsible for the maintenance of all assets received on lease from KVWSMB (Kathmandu Valley Water Supply Management Board). KUKL will also take over the responsibility for infrastructure built by the Melamchi Water Supply Project.
The shareholders of the KUKL, with relative initial shareholdings, are the Government of Nepal (GoN) (30%), Municipalities in the Valley (50%), Private Sector Organisations (15%) [ Federation of Nepalese Chambers of Commerce and Industry (FNCCI)- 3%, Lalitpur Chamber of Commerce (LCC) – 1.5%, Nepal Chamber of Commerce (NCC) - 9%, Bhaktapur Chamber of Commerce (BCC) -1.5%], and an employee trust paid by the government (5%).
The Kathmandu Upatyaka Khanepani Limited (KUKL) is governed by a Board of Directors (BoD) with nine members; Six directors are nominated by shareholders (Two from GoN, two from Kathmandu Metropolitan, one from Lalitpur Metropolitan and one from private sector organizations) and 3 are appointed independently. The chairman is selected from among the Board of Directors.