The Centre and provinces have agreed to the proposal of provinces determining the tariff for power projects set up in their jurisdiction, otherwise the tariff determined by the National Electric Power Regulatory Authority (NEPRA) will remain in force. An official source said proposals had been sought from provinces for setting up power regulatory system at the provincial level by June 15 and the provinces demanded the right to determine tariff after the implementation of the devolution plan from the next fiscal year.
Sindh and Khyber Pakhtunkhwa wanted re-determination of the tariff for power projects, but it was decided that the existing tariff would remain in force. However, they would be able to determine new tariff for any of the projects that would be set up in their jurisdiction in the future, the source said. After the devolution, the provinces would have the power to allow the establishment of new power projects and could even set up hydel power projects with their own funds and determine tariff for the new projects.