ISLAMABAD According to The News, if the National Electric Power Regulatory Authority (NEPRA) approves the proposed rise in power costs of Rs4.66 per unit in January 2024 bills, electricity customers will be required to shoulder an additional burden of Rs33 billion.
The November 2023 fuel adjustment is the reason for the projected price increase.
The NEPRA held a public hearing on the Central Power Purchasing Agency’s (CPPA) appeal. In this instance, Discos was represented by the CPPA.
When more economically viable facilities were being shut down for maintenance, NEPRA questioned the CPPA about running power plants on imported fuel. Notably, the coal-fired Thar plant’s maintenance-related outage raised the cost of electricity.
Negative growth in electricity generation drives up costs when demand drops below the reference level, according to the NEPRA chairman. As a result, quarterly adjustments (QTAs) and monthly fuel costs (FCAs) are positively adjusted. Capacity charges increase as a result of poor capacity use because customers must always pay fixed rates. The CPPA had asked in its petition for the earlier adjustments, totaling Rs15.9 billion (Rs2.117/unit), to be transferred to customers’ January 2024 bills.
In response to claims of overbilling, NEPRA defended its history of carrying out rulings and promised to uphold its most recent ruling. Power distribution businesses (Discos) received explanations from the regulator, along with notice that legal action will be taken against them. Regarding the recent load shedding, the CPPA said, “Discos control loads due to
