SAI seeks notification on power tariff reduction

24 Apr, 2004

Muhammad Nisar Shekhani, Chairman, Site Association of Industry (SAI) urged the Prime Minister, Mir Zafarullah Khan Jamali and Aftab Ahmed Khan Sherpao, Federal Minister for Water and Power, to direct the ministry concerned to ensure that the required notification is issued within the stipulated time in larger interest.
He expressed much concern on the inordinate delay in issuance of respective notifications on reduction of power rates in case of KESC by the Ministry of Water and Power, government of Pakistan, in spite of recommendations of National Electric Power Regulatory Authority (Nepra).
In a communiqué to the Secretary, Ministry of Water and Power, Islamabad, Nisar Shekhani has drawn his attention to the announcement made by the Nepra, recently that it has revised power tariff for Karachi Electric Supply Corporation (KESC) downward by four paisa per unit for commercial, industrial and bulk supply consumers under the new determination keeping in view the formula of 'Quarterly Tariff Adjustment Mechanism'.
This would come into effect after issuance of the desired notification by the ministry.
Here, he added and also drew the attention of authorities concerned to the announcement made by the federal minister for water and power on reduction of tariff of KESC on 14th January this year.
The same was also recommended by Nepra, the authority, to the government of Pakistan for issuance of gazette notification. But, it is unfortunate that even after the passage of more than three months, nothing has been done for the benefit of consumers at large.
It is learnt that putting together the determinations for the two quarters, Nepra has asked the government to notify a tariff reduction of 16 paisa each for commercial and industrial consumers, five paisa each for residential consumers and agriculture, 13 paisa for bulk supply and 12 paisa for public lighting, he added.
Under the Nepra Act of 1997, the federal government is required to notify Nepra's determination within 15 days or seek its review. If the notification is not issued within the given 15 days, the Nepra determination is deemed to have taken effect, but practically, the utilities could not change their tariff without a government notification.

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