ISLAMABAD  -   National Electric Power Regulatory Authority (NEPRA) has allowed an increase of Rs1.78 per unit in power tariff for ex-WAPDA Discos on account of fuel cost adjustment for the month of July.

During a public hearing presided over by Chairman NEPRA Tauseef H Farooqi, on the petition filed by the Central Power Purchasing Agency (CPPA) on behalf of the Discos, NEPRA has allowed an increase of Rs 1.78 per unit against the demanded Rs1.9267 per unit.

NEPRA vice chairman Bahadur Shah asked CPPA whether merit order was followed while generating the electricity. The CPPA official responded that merit order was followed.

The cost of electricity would have been reduced by Rs 5 billion if RLNG would have been used instead of furnace oil, the NEPRA’s official remarked.

In its petition, the CPPA had sought a tariff increase of Rs1.93 per unit due to a hike in fuel prices. In its petition the CPPA pleaded that it had charged consumers a reference tariff of Rs 3.5420 per unit in July while actual fuel cost turned out to be more than the amount charged and hence it should be allowed to increase the rate by Rs1.93 per unit. However Nepra has approved an increase of Rs 1.78 per unit in the electricity tariff for power distribution companies. The decision will have an impact of an additional Rs 24.6 billion on the electricity consumers. The tariff adjustment will, however, not be applicable to lifeline consumers who consume up to 50 units a month and K-Electric consumers.

According to the petition total energy generated in July was 14231.27 GWh at a total price of Rs 74.90 billion which is Rs 5.26 per unit. Of the total, the net electricity delivered to Discos was 13788.73 GWh at Rs 75.41 billion with transmission losses of 3.11 percent.

According to the data provided to NEPRA, the share of hydropower generation was 4629.48 GWhs or 32.53 percent in July. It was informed that around 783.08 GWh or 5.50 percent electricity was generated from furnace oil. The cost of electricity generated from RFO was Rs 14.92 per unit. In July no electricity was generated from high speed diesel. The energy generated from RLNG was 3516.71 GWhs or 24.71 percent of total generation. The cost of RLNG based electricity was Rs 11.182 per unit. The total generation from local gas-based electricity was 1689.92 GWh or 11.81 percent and the cost was Rs 6.38 per unit.

The generation from nuclear was 826.64 GWh or 5.81 percent and the cost of generation was 1.022 per unit. From Iran 53.47 GWh or 0.38 percent electricity was imported at the cost of Rs 11.58 per unit. From wind and solar 596.17 GWh and 60.15 GWh electricity was generated respectively. From baggasse 35.51 GWh or 0.25 percent electricity was generated at the cost of Rs 6.21 per unit.