LHC extends stay against fuel adjustment surcharge

14 Dec, 2011

The Lahore High Court (LHC) on Tuesday extended till the December 19 the stay against levy of fuel adjustment surcharge in the electricity bills of both domestic and commercial consumers. National Electric Power Regulatory Authority (Nepra) had issued a notification to impose fuel surcharge on electricity bills and the court restrained it from recovering the surcharge or cutting of electricity connections for non payment of bills.
Justice Muhammad Khalid Mehmood Khan had granted stay on a number of petitions filed by different industrial units and individuals. The petitioners through their counsel submitted that acting retrospectively, Nepra and Lesco are unlawfully recovering fuel adjustment surcharge for the past month, which are now "past and enclosed transaction" between the consumers and power distribution companies.
They said the notification issued by the respondents imposed huge amount in their bills under an unlawfully added proviso to S.31(4) of the Regulation, Generation, Transmission and Distribution of Electric Power Act 1997 (Nepra Act 1997). They said S.31(4) was added in Nepra Act 1997 by amendment for imposing taxes and surcharges retrospectively, which was not permitted under the law.

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