ISLAMABAD - In order to make adjustments in the approved tariff of the power distributing companies (Discos), National Electric Power Regulatory Authority (Nepra) has issued a notification of hike in the power tariff by Rs1.12/unit under the head of monthly fuel price adjustments.
Following gigantic oil price hike up to Rs 3.04 coupled with a smart raise in the prices of Compressed Natural Gas (CNG) up to Rs 2.55/kg, this surge on account of fuel price adjustments for the inflation-hit masses would push them further down the economic line and would snatch a sigh of relief from those who are already bearing heavy brunt of hours long power outages, inflated prices of daily use items, edibles and already high ceiling power tariff. This raise in power prices is set to add miseries and would ultimately leave the inflation-hit masses in complete lurch.
Official sources citing Nepra notification said that due to variations in the fuel charges registered in the month of May 2013, the authority (Nepra) has made adjustments in the approved tariff on account of variations registered in the fuel charges on the basis of a mechanism/formula already determined by the authority and raised price of per unit of electricity by Rs 1.12 under the head fuel price adjustments. This power price hike would be applicable to all the consumer categories except lifeline consumers of all the Discos and consumers of the Karachi Electric Supply Company (KESC) as well. And, this raise in the power price would be shown separately in the consumers’ bill on the basis of units billed to the consumers in the month of May 2013 but Discos would recover this raise in per unit of electricity prices from the power consumers in monthly bills of December.
As per Nepra notification pertaining power tariff hike on account of fuel cost variation, the Central Power Purchasing Agency (CPPA) had sold seven billion units of electricity the Discos and the power distributing companies in return would collect Rs 6 billions from the power consumers in the month of December.
The Nepra in its decision also said that the information so provided by CPPA, it has been observed that the actual pool fuel charges of Rs 7.6689/kWh for the month of May 2013. In this way an increase by Rs1.1282/kWh was registered if compare to the reference fuel charges, i.e. Rs6.5407/kW.’
Sources said that the CPPA had reported to the regulator that ‘national transmission dispatch company (NTDC) transmission losses of 93.54 GWh (1.26pc) during May 2013 which was, however, within the allowed limit of 2.5pc.’
Interestingly, the Nepra conducted a public hearing on 19th June 2013 in
NEPRA main office. However on the date fixed for the hearing, representatives from Central Power Purchasing Agency (CPPA), Wapda Private Power Organization (WPPO), Ministry of Water & Power, general public and media were present, however, no representative from National Power Control Cell (NPCC) and Ministry of Finance attended the hearing despite the notice issued to them.