ISLAMABAD

National Electric Supply Power Regulatory Authority (Nepra) will hold a public hearing to decide the multiyear consumer tariff filed by Pesco, in which the distribution company has sought to pass on up to 32 percent line losses to consumers in next five years.

Peshawar Electric Supply Company in its application has requested to pass on 32 percent line losses to consumers for the year 2015-16, while for next five fiscal years it has sought to include 30, 28, 26 and 24 percent of line losses in consumer bills.

In its detailed document submitted to the authority Peshawar-based company has asked for Rs3.06/kWh distribution margin for 2015-16 and Rs 3.26, Rs3.43, Rs3.64 and Rs3.87 per kilowatt for the year 2016-17, 2017-18, and 2019-20, respectively.

For the five fiscal years starting from 2015-16 the average sale rate has been requested to be Rs.17.25/Kwh, Rs16.90, Rs16.79, Rs16.82 and Rs16.90 for year 2019-20.

The company claims that the components have been worked on the data of financial year 20915-16.

In the hearing the authority will discuss that whether the petitioner’s projected energy purchases & energy sales for the FY 2015-16 to FY 2019-20, is reasonable and does the projected power purchase costs are justified.

The authority will also discuss the accuracy of Rs. 1,318 million prior year adjustment for the FY 2015- 16.

The petitioner requested to allow the new hiring cost against existing vacant position of Rs. 1200 million including new hiring cost for expansion related to new offices will also be discussed in detail.

Pesco has requested cumulative addition of 1410700 new consumers in next 5 years as per identified forecast. The meeting will also look upon the forecast numbers and bases of that prediction.

The company has claimed that it will reduce the huge line losses of 32 percent to 24 percent in next five years, basis of that claim will also be addressed during the public hearing.

Likewise, Pesco’s 5 years cumulative reduction in transmission losses as 66.5 MW and subsequent energy savings as 320.4 GWh is also on agenda.

Whether the cost of Rs. 12103.63 million for proposed grid station projects and Rs. 8588 million for proposed transmission line projects under STG expansion and rehabilitation best case scenario for next 5 years is justified, the authority will also look into that.

The meeting will also discuss the cost of Rs. 7768.87 million for proposed grid station projects and Rs. 4855 million for proposed transmission line projects under STG expansion and rehabilitation optimally achievable scenario for next 5 years is justified, and whether the total capital and operational expenditure cost of Rs. 5216 million showed against improvements in commercial, financial, human resource and communication plans is justified.