The public and private sector has opposed multi-year tariff for Hyderabad Electric Supply Company (Hesco) and Quetta Electric Power Company (Qesco), saying it would not only hurt the industry but also the common man.
This was observed during a public hearing by the National Electric Power Regulatory Authority (Nepra), chaired by its Chairman.
The Commerce Ministry representative Abdul Khaliq, while opposing tariff petitions, said that multi-year tariff in any case would destroy the industry. He was of the view that the companies were seeking a raise on those assets, which were not existing.
A representative of the National Transmission and Dispatch Company (NTDC) disagreeing with the investment plan, submitted by the Hesco, said the tariff raise was being demanded for the Second Transmission Generation (STG) for which investment would not be available in the coming six months.
However, the Hesco Chief Executive Officer (CEO) said if the NTDC was not ready to extend investment for the STG, the Distribution Companies (Disco) would arrange funds from local banks independently.
The Quetta Chamber of Commerce and Industry and Hyderabad Chamber of Commerce and Industry also opposed the proposed increase in tariff.
The representative of the Apmta and Pakistan PTA Limited (not ICI), Khaleeq-uz-Zaman, in his comments said the raise demanded by the utilities was not justified.
It may be mentioned here that Hesco has requested a 22 percent increase in average sale rate to Rs 5.28 per unit. The Transmission and Distribution (T&D) losses are projected as 38.50 percent.
Qesco CEO Brigadier Tasaduq Hussain also presented its case for enhancing its revenue by seven-percent in average sale rate.
The Qesco projected its revenue on the basis of T&D losses of 22.2 percent.