The government has created a new strategy that might lower electricity rates by Rs10 per unit in an effort to lessen the burden of capacity payments on electricity users.
The implementation of a “give electricity, take money” or “take and pay” strategy is being discussed with independent power providers (IPPs), according to government papers.
The existing system of capacity payments to idle power plants will be eliminated under this plan, which will only compensate power companies that provide electricity.
According to estimates from the government task team, this measure might save up to Rs948 billion a year, giving customers a reprieve of Rs9.70 per unit.
As of the now, capacity payments cost consumers Rs1,916 billion yearly.
