ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) was informed that the Faisalabad Electric Supply Company Limited’s actual losses in the fiscal year 2022-23 remained 8.59 percent, down by 0.25 percent against 8.84 percent allowed by the authority.

This was stated by the Fesco during a public hearing at Nepra on its petition of multi-year tariff for fiscal year, 2023-24 to fiscal year 2027-28 on Thursday.

Saving of 0.25 percent, translating into a financial impact of Rs 991 million, the company added.

‘Speed of electrical uplift work being accelerated in FESCO region’

Additionally, Nepra was further informed that actual losses of Fesco during the last five years remained below the target allowed by Nepra.

The Fesco also stated that it was operating with a shortage of staff. We are operating with 11,451 staff against the required number of staff of 24,000, stated the officials of Fesco, adding that 206 serving and retired employees of Genco have come to the Fesco which included 160 serving and remaining retired staff. We have low multi-year tariff as opposed to other distribution companies, the official added.

The authority has determined Fesco’s distribution integrated investment plan (DIIP) for a period of five years from fiscal year 2023-24 to fiscal year 2027-28. Based on DIIP Fesco has filed a tariff petition multi-year tariff regime for a tariff control period of five years (FY 2023-24 to FY 2027-28).

The Nepra guidelines for the determination of consumer end tariff (methodology and process), 2015 justify the period of MYT for five years. Fesco already operating in five-year multi-year-tariff regime from 2018-19 to 2022-23.

Although other parameters are Fesco were up to the target, the authority noted pending 600 connections, upon which, the officials of Fesco stated that the issue of meters led to the delay and demand notice have been issued against some applications, whereas, some are in the process due to some objections.

Copyright Business Recorder, 2023