LHC declares FPA, other tariff in electricity bills illegal

LAHORE  -    The Lahore High Court (LHC) on Monday declared fuel price adjustment (FPA), quarter tariff adjustment, change of status of tariff from industrial to commercial by the National Electric Power Regulatory Authority (NEPRA), for the period it was not fully constituted under Section 3 of the NEPRA Act, 1997, as illegal.

Justice Ali Baqar Najafi issued the 81-page verdict reserved a few months ago after hearing detailed arguments of the parties. More than 3600 domestic and industrial electricity consumers, including Muhammad Azhar Siddique, had filed petitions against imposition of FPA and other tariffs in the bills.

In its judgment, the court, disposing of the petitions, directed NEPRA and other respondents to inform the consumers about the charges on a monthly basis, adding that the fuel price adjustment should not go beyond 7 days and the quarter tariff adjustment should not go beyond the statutory period.

The court also directed respondents not to charge any exorbitant tariff beyond the paying capacity of the domestic consumers. “Fix the responsibility of over-charging on the basis of line losses and the less efficient power plants and the financial burden will also be shared by the companies under a rational proportion”, it added.

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