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ISLAMABAD: National Electric Power Regulatory Authority (NEPRA) has increased Discos tariff by Rs 4.57 per unit for December 2023 under monthly Fuel Charges Adjustment (FCA) mechanism.

The Authority conducted a public hearing on January 31, 2024 and reviewed the request/information provided by CPPA-G seeking monthly FCA and due diligence is done accordingly. CPPA-G had sought positive adjustment of Rs.5.6194/kWh. Since, the December FCA of Rs 4.57 kWh will replace Rs 4.13 kWh of November 2023, the net impact will be of paisa 44/kWh.

NTDCL, reported provisional T&T losses of 248.148 GWh i.e. 3.136%, based on energy delivered on NTDCL system during December 2023. The NTDC in addition also reported T&T losses of 21.268 GWh i.e. 2.840%, for PMLTC (HVDC) line. NTDCL is allowed T&T losses of 2.639% only at 500KV and 220 KV network, while PMLTC (HVDC) is allowed T&T losses of maximum up-to 4.3%.

Nepra voices its concern: Massive cut in use of powerby industries

Accordingly, for the month of December 2023, T&T losses of 269.4 16 GWh have been verified for NTDGL system only at 500 kV and 220 kV network and PMLTC (HVDC) being within the Authority’s allowed limit have also considered while working Out the FCA of December 2023. The Authority has directed CPPA-G to provide the Technically/financially verified data of each generation company pertaining to previous month along-with its next monthly FCA request, in order to ensure that any required adjustments are made in a timely manner.

CPPA-G in its request has also included 18.47 GWh for the Net Metering units procured during December 2023 based on information provided by PITC.

As per data provided by CPPA-G, during December 2023, 23.454 GWh were supplied by power producers having bilateral contracts with DISCOs. Regarding fuel cost of SPPs/CPP it is relevant to note that CPPA-G only provided NTDC monthly reading data containing energy supplied by aforementioned SPPs/CPPs to DISCOs, however, no fuel cost has been claimed/provided along-with the FCA data. The Authority, after incorporating the aforementioned adjustments, has reviewed and assessed a National Average Uniform increase of Rs.4.567 1/kWh in the applicable tariff for Discos on account of variations in the fuel charges for the month of December 2023.

The Authority has calculated uniform FCA of Rs 9.9702/ kWh for December 2023 as compared to corresponding reference FCA of Rs 5.4031/kWh. Hence, positive adjustment of Rs 4.5671 kWh in FCA for December has been allowed.

Discos shall reflect the fuel charges adjustment in respect of December 2023 in the billing month of February 2024.

The adjustment shall be shown separately in the consumers’ bills on the basis of units billed to the consumers in the month of December 2023.

Copyright Business Recorder, 2024

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