WEDNESDAY MAY 29: Nepra approves 75 paisa per unit raise

ISLAMABAD: National Electric Power Regulatory Authority (Nepra) on Tuesday approved 75 paisa per unit increase in the power tariff under monthly fuel adjustment formula. The regulator allowed the increase during a public hearing conducted in Islamabad with Nepra Chairman in chair. During the hearing, Central Power Purchasing Agency (CPPA) informed Nepra that furnace oil of Rs 4.7 billion was purchased in the month of April to generate electricity.
Furnace oil cost Rs 16.48 and diesel cost around Rs 21.48 per unit for electricity production. Also, 18 paisas per unit was lost due to power theft and line losses. According to CPPA, thermal power generation based on furnace oil was 30 percent more than the previous month. Nepra said in the month of November over 30 percent power generation was from furnace oil worth Rs 33.8 billion.
According to CPP's tariff petition, hydel generation rates are Rs 0.0865 per unit, HSD Rs 21.4838 per unit, RFO Rs 16.4853 per unit, gas Rs 4.8254 per unit, nuclear Rs 1.4372 per unit, electricity imported from Iran Rs 10 per unit, mixed Rs 8.5165 per unit and wind Rs 0.0044 per unit. The average price of energy generated has been calculated at Rs 8.1864 per unit. The new tariff will be applicable following government's approval. After notification, consumers using electricity above 100 units will have to pay additional 75 paisas.
Last week Senate Standing Committee on Water and Power directed Nepra to stop taking fuel adjustment charges as it was mandated to secure the interests of consumers. The committee issued directives to the Water and Power Ministry to ensure that excepting defence institutions and hospitals, all departments including Parliament and Supreme Court should bear the share of loadshedding like the common man.
The committee asked the authorities to stop giving extra 650 mega watt to the Karachi Electric Supply Company (KESC) and develop a monitoring system to look after the quota of different electric supply companies and reveal the quota of every company. On May 17, Nepra notified the eight months' monthly fuel adjustment charges the impact of which has been divided in five instalments starting from October 2013.