ISLAMABAD-The National Electric Power Regulatory Authority (Nepra) Tuesday allowed an increase of Re.0.8954 per unit in power tariff for ex-Wapda Discos under fuel charges adjustment (FCA) for the month of January.

Nepra has also allowed the use of expensive furnace oil worth Rs12 billion for power generation during the month of January. 

Central Power Purchasing Agency-Guaranteed (CPPA-G) had requested a positive FCA of Rs.0.9270/kWh, having impact of Rs.7.1 billion. Nepra had conducted public hearing on February25, 2021 and reserved the judgment. The Authority has approved FCA of Re.0.8954/kWh, having impact of Rs.6.9 billion, said a decision issued here by Nepra. The FCA of January 2021 shall be charged in the billing month of March 2021 to all consumer categories of XWDISCOs, except life line consumers i.e. having consumption up-to 50 units, and would remain applicable only for one month. This FCA is not applicable to KE consumers.

In the public hearing, National Electric Power Regulatory Authority (Nepra) had as usual shown concern over the use of expensive furnace oil worth Rs 12 billion for power generation as the regulator reserved judgment over Central Power Purchasing Agency-Guaranteed (CPPA-G) petition for Rs 0.9270 per unit increase in power tariff under monthly fuel charge adjustments (FCA) for January. 

In its petition, CPPA-G maintained that the reference fuel charges for January 2021 were estimated at Rs5.7576 per unit whereas the actual fuel charges were Rs 6.6846 per unit, hence an increase of Re0.9272 per unit had been sought under monthly fuel price adjustment mechanism.

According to the data submitted to Nepra, the CPPA-G revealed net electricity delivered to Discos in January, 2021 was 7,728.26/GWh at a rate of Rs 6.6846 per unit, total price of which was Rs 51.660 billion.

In January, hydel generation was recorded at 1,067 GWh which constituted 13.2 per cent of total generation in the entire month. Power generation from coal-fired power plants was 2,559 GWh (31.68 per cent of total generation) at the rate of Rs 6.47 per unit, RFO- 974 GWh (12 per cent of total generation) at a tariff of Rs 12.3460 per unit. NPCC also generated 46 GWh from HSD at Rs 19 per unit.

Electricity generation from gas-based power plants was 1,333.80 GWh (16.751 per cent of total generation) at a cost of Rs 7.6191 per unit, RLNG - 916.42 GWh (11.34 per cent of total generation) at Rs 8.3184 per unit, nuclear - 853 GWh at Rs 1.0075 per unit and electricity imported from Iran 31.65 GWh at Rs 9.8088 per unit. The price of mixed generation, ie, from different sources was 1.06 GWh at a rate of Rs 5.0479 per unit whereas electricity produced from baggasse was 95.89 GWh at Rs 5.9822 per unit. The energy generated from wind was recorded at 152.57 GWh, 1.89 per cent of total generation and solar at 47 GWh, 0.59 per cent of total generation in January.

The total energy generated was recorded at 8,079 GWh in January at a basket price of Rs 6.0640 per unit. The total cost of energy was Rs 47.990 billion. CPPA-G had also sought previous adjustment of Rs 3.311 billion which constitutes Rs 0.41 per unit. The sale to IPPs was reduced by 24.42 GWh, the price of which was Rs 641 million (Rs 0.0599 per unit) while cost of reduced transmission losses was Rs 326.14 3 million or Rs 0.2707 per unit.