NEPRA approves Rs 2.76 per unit cut in power tariff

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AHMAD AHMADANI

National Electric Power Regulatory Authority (NEPRA), while approving Rs2.76 per unit reduction in power tariff on account of fuel cost adjustment, has issued notices to Power Ministry and National Transmission and Despatch Company (NTDC) over artificial power load shedding.

The regulatory authority took the decision of relief on Thursday in a hearing held under NEPRA Chairman Tariq Sadozai. And, with effect to NEPRA’s decision, additionally charged Rs 20 billion would be refunded to the power consumers. However, domestic and agriculture consumers using 300 units in a month and consumers of K-Electric would not get relief in electricity bills.

Earlier, the Central Power Purchasing Agency (CPPA), in a petition, asked the authority to approve Rs 2.76 per unit reduction in power tariff under monthly fuel price adjustment for September.

During the course of hearing, the CPPA informed the regulator that total 10 billion units of electricity were sold to power distributing companies (DISCOs). The CPPA told that Reference Fuel Cost (RFC) for the September was fixed at Rs 6.43 per unit, while actual fuel cost remained at Rs 3.67 per unit.

The CPPA also told the regulator that despite the availability of RLNG, 101 million units of electricity were generated with high speed diesel (HSD) at the cost of Rs 1.25 billion. Also, electricity with HSD was produced at Rs 12.32 per unit while Rs6.58 per unit with RLNG.

Similarly, NEPRA has taken serious notice of hours-long artificial power load shedding in major parts of the country. Chairman Tariq Sadozai grilled officials of NTDC over the issue.

Expressing serious concerns over the unannounced power cuts, the NEPRA chairman said that power plants had worked 49 per cent below to their installed capacity in September. He said power generation with expansive plants was made deliberately by closing the cheaper plants during the said month. He questioned, ‘When electricity is available in the country, then why masses are facing miseries’?

NTDC chief engineer, present on the occasion, stated that six to eight hours load shedding was in accordance to the policy of the government. Upon this, Tariq Sadozai said that regulator’s job was to keep an eye on the difficulties of people and the power sector as well.

NEPRA officials said that a loss of Rs 6 billion was made only because of low power generation from those power plants which could produce electricity on cheap rates. They said power was not generated with gas run even furnace oil based power plants.

“NEPRA has sought replies from the Ministry of Water & Power and the NTDC over below capacity working of the power plants and the artificial power load shedding,” officials said.

The NEPRA chairman also sought reply over no power generation from the Nandipur power plant during the last two months. He said that NEPRA has taken its decisions on the petitions, seeking tariff determination for Nandipur power plant. But, Water and Power Ministry has not issued notification as per NEPRA’s decision. ‘Has the government planned to approach the court against NEPRA’s decision’, he asked?