Peshawar Electricity Supply Company (PESCO) may purchase electricity directly from the power generation companies without involving the National Tariff Distribution Company (NTDC), it was learnt. Sources said that the issue would be taken up in the second meeting of Pesco Board of Directors scheduled to be held on April 18 as Strategic Planning Committee (SPC) of the distribution company believes that unnecessary cost was being paid to NTDC for transmission of 80 MW from Malakand.
Chairman SPC Nauman Wazir told Business Recorder on telephone that he had sent a set of recommendations to the Secretary Water and Pesco and the proposal to purchase electricity directly from the generation companies was also part of the recommendation. He said that the Discos should be allowed to purchase electricity directly from power generation companies from their respective areas at 132 kv circuits and 11 kv circuits.
He said that a number of recommendations have been made to the Pesco Board of Directors to minimise line losses of over 35 per cent and motivate the people towards self load management by offering them tariff based load management. One recommendation, sources said, is that the purchase tariff structure should be on the same line as sale tariff structure (peak and non peak tariff) because this would encourage generating companies to generate during peak hours and lead to less load shedding.
Sources said that Pepco was facing 35 percent line losses and over 90 per cent of these losses are due to theft largely in areas where law enforcement agencies writ is weaker. This has been suggested that anti theft campaign be launched and load shedding should be directly proportional to the line losses on that particular feeder. Sources said that if recommendations were accepted, the Pesco would then apply to the National Electric Power Regulation Authority (NEPRA) tariff for four timings in its jurisdiction to implement the tariff based load management.
The tariff rate would be sought three times higher for the peak hour from 4:00pm to 11:00pm as compared to relatively low electricity demand hours from 1:00 am to 4:00 pm. The tariff would be lowest for mid night to morning and relatively higher from morning till afternoon. Sources said that installation of "Times of The Day" (TOD) meters, same as in industries, may be required for effective enforcement of tariff-based load management.
The plan may be implemented in phases if installation of TOD meters critical. The proposal also included that five highest line losses feeders to be auctioned (same as Octroi in 1992). These Service Provide Contractors (SPCs) would be regulated by Pesco and appeal against their decision will lie with the Electric Inspector. This has also been proposed that recovery against bad debts be made through Alternate Dispute Resolution Committee (ADRC) having members from the board and civil society. The new connection priority should be given to electricity consumers on feeders with low line losses. This was also proposed that official of Pesco should be stopped from making the honest consumers pay for the line losses.