Discos to charge Rs4.567/unit extra in February

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) granted approval on Friday for the state-run power distribution companies (Discos) to levy an extra Rs 4.567 per unit on the bills of power customers for February 2024.

The additional charges were sanctioned by the regulator in light of fuel charges adjustment (FCA) of December 2023. This decision is expected to impose a financial burden of approximately Rs 33.88 billion on consumers, with the potential to rise to nearly Rs 40 billion when the 18 per cent General Sales Tax (GST) is factored in. It is important to note that this tariff increase applies to all consumer categories, excluding Electric Vehicle Charging Stations (EVCS) and lifeline consumers. Notably, the central power purchasing agency (CPPA) in its petition on behalf of Discos had pleaded that in December 2023, the consumers were charged a reference fuel cost of Rs 5.4031 per unit, while the actual fuel cost incurred was Rs 11.0225 per unit. The CPPA argues that the additional cost burden of Rs 5.6194 per unit should be transferred to consumers.