The federal government and National Electric Power Regulatory Authority (Nepra) are at odds over the notification of power tariff determined by the regulator a month earlier. It is learnt that the Ministry of Water and Power, after failing to notify the revised tariff with increase of 8 to 15 paisa per unit for Wapda companies, has asked the regulator to give rationale for the raise. Nepra, which determined the tariff in the light of discussions with Ministries of Finance and Water and Power, argued that the new finalised rates were rational and this had already been conveyed to the government in communication a day earlier, said an official.
"It is a game of nerves, and the time will tell who is right," the official added.
The regulator, which determined differential in tariff for Wapda companies in July, was annoyed with the government for not issuing notification because of substantial reduction in tariff.
However, the Ministry of Water and Power consulted the Finance Ministry and held a meeting with Nepra officials, wherein it was decided that the revised tariff would be issued after adjustment of fuel prices as per new tariff.
Nepra, issued different determinations for eight companies and asked the government to notify it, but the matter had been shelved due to one reason or the other because the government did not want to pass on the benefit of Rs 4 billion to consumers earned by Wapda companies in the absence of revised notification to the consumers.
Sources said that Privatisation Commission was also annoyed over government not notifying the tariff for Faisalabad Electric Supply Company (Fesco). Nepra determined new tariff for the company in July but the government did not issue notification which, according to PERCENT, was hampering the privatisation process.
It may be mentioned here that Secretary Water and Power Ashfaq Mahmood assured the World Bank team at the end of January last that the revised tariff would be notified by February 15, but failed to fulfil the commitment.
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