The federal cabinet has granted approval to notification of Wapda hydroelectric tariff as determined by the Nepra for fiscal year 2017-18 for Khyber Pakhtunkhwa and Punjab and directed that the process of tariff determination for AJ&K should also be initiated. A meeting of the federal cabinet presided over by Prime Minister Shahid Khaqan Abbasi was presented a summary by the Ministry of Water Resources on Tuesday, saying that Wapda filed a tariff petition to Nepra for determining revenue requirement of Wapda hydroelectric for fiscal year 2017-18.
Subsequently on the petition, Nepra gave its determination. The Nepra in its decision clubbed net hydel profit (NHP) arrears with Wapda revenue requirement in fixed rate for each power station. Therefore, WAPDA requested NEPRA to issue revised/ amended order to ensure transparency and avoid any misinterpretation. On the request of Wapda, tariff determination was further clarified and clarification thus issued by the Nepra addressed all the points raised by WAPDA whereupon the federal government has to issue the notification according to Section 31(4) of the Regulation of Generation, Transmission and Distribution of Electric Power Act, 1997.
Before seeking the approval of the federal cabinet, the ministry submitted the draft notification of the Wapda hydro electric tariff, as determined by Nepra for fiscal year 2017-18 to the Law Division for vetting. After incorporating the amendments proposed by the Law Division, the draft notification was sent to Nepra for its concurrence. Now, Nepra has also vetted the draft notification.
As per the Regulation of Generation, Transmission and Distribution of Electric Power Act, 1997, the federal cabinet will issue notification of the Nepra's determined tariff, rates, charges and other terms and conditions pertaining to the power sector. Ministry of Water Resources in the summary stated that the approval of the cabinet is solicited for notification of Nepra's determined Wapda hydroelectric tariff for 2017-18 and subsequent publication in the official gazette.
The meeting also approved signing of inter-governmental agreement (IGA) between Ministry of Energy, Pakistan, and Ministry of Oil and Gas, Sultanate of Oman, for supply of liquefied natural gas (LNG) and POL products on government to government basis and gave approval for signing of Inter-Government Agreement and Letter of Intent on Cooperation in the field of liquefied natural gas (LNG) between the Government of Pakistan and Government of Italy.
The meeting began with offering Fateh for the departed souls of renowned lawyer and human rights activist Asma Jahangir and politician Mir Hazar Khan Bijarani. The meeting allowed permission to transit of 01x20 feet container STC containing 08 packages of spare parts of Toyota vehicles of UNMA from Karachi to Kabul.
The federal cabinet ratified the decisions of Cabinet Committee on China-Pakistan Economic Corridor (CPEC) taken during its meeting held on 12-01-2018 and decided that cabinet will be briefed in detail on the CPEC. The cabinet directed that the process of filling up vacant positions of the heads of organisations in various ministries be expedited.
The federal cabinet expressed satisfaction over the surplus generation capacity in the power sector. It was reiterated that the government is committed to ensuring uninterrupted power supply to consumers. The federal cabinet also directed for early operationalizaion of New Islamabad International Airport.