Power firms to charge additional Rs15.6bn

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Tuesday notified about Rs1.61 per unit additional fuel cost adjustment (FCA) in power tariff for ex-Wapda distribution companies (Discos) for one month to mop up about Rs15.6 billion in additional funds in the current billing month.

The “adjustment of an increase of Rs1.6075/kWh shall apply to all the consumer categories except Electric Vehicle Charging Stations (EVCS) and lifeline consumers”, Nepra said in a notification, adding that the adjustment shall be shown separately in the bills based on units consumed in April and reflect them in June’s bills.

The ex-Wapda Discos had proposed an additional FCA of Rs2.01 per unit to generate about Rs19.5bn more funds.

The regulator, however, calculated a positive FCA of Rs1.61 per unit with an additional revenue impact of about Rs15.63bn. It withheld the financial impact on account deviation from the economic merit order amounting to Rs3.726bn, on a provisional basis from the FCA claim till the time system operator — National Transmission & Despatch Company (NTDC) — provides complete justification for the violation.

The regulator said the NTDC had reported system constraints for the violation but it was not in the approved format which means the withheld amount could get back to haunt the consumers in next month’s bills.

Published in Dawn, June 14th, 2023