ISLAMABAD - National Electric Power Regulatory Authority (NEPRA) Thursday approved Rs 2.88 per unit reduction in electricity rates of all distribution companies, except the K-Electric, on account of monthly fuel price adjustment for the month of September.

During the hearing, Central Power Purchasing Agency (CPPA) submitted that during the month of September, 9619.47GWh electricity was generated and after NTDC constraints (losses) 9316.07 GWh energy was delivered to Discos.

The transmission losses before supplying electricity to distribution companies were calculated at 3.08 percent. These losses are other than those losses which occur when distribution company supply power to its consumers. It is pertinent to mention that a certain amount of electricity is supplied to any distribution company against a certain amount and the distribution company supplies this to consumers.

On the basis of above data, the agency submitted that the per unit electricity generation cost reduced Rs. 2.78 against the reference charges of Rs. 6.4326/ Kilowatts.

The authority, while scrutinizing data, observed that the allocation of Rs. 883 million to LNG fed Roush power plant was unjustified as OGRA has yet to announce tariff for the imported fuel. The authority ruled that this amount will be later adjusted after the authority notification from Oil and Gas Regulatory Authority.

During the month, 43 percent electricity was generated through hydroelectric resources, 1.11 percent on high speed diesel, at the most expensive cost of Rs 13.24 per kilowatt. From furnace oil 24 percent electricity was generated at the rate of Rs. 7.95 per kilowatt, while through gas 28.46 percent power was made at the cost of Rs. 5.48 per kilowatts.

According to data submitted by the agency, Kapco plant B-11 unit did not produced any electricity during the whole month.

Other plants which remained shut include AES Pakgen, Sepcol, Saba, Japan, Orient, Engro’s diesel run plant, and gas run Halmore. RYK Bagasse also produced zero electricity.

NEPRA Chairman Tariq Sadozzai said that consumers will get a relief of Rs24.39 billion, from the fuel price adjustment and will be reflected in the monthly bill of January. Consumers using less than 300 units of electricity per month, which comprises a big chunk of total consumers, will not be eligible for the decrease, as per IMF directions.