Power tariff reduced by Rs2.23 per unit for ex-Wapda Discos

ISLAMABAD: National Electric Power Regulatory Authority (Nepra) on Thursday accorded a reduction of Rs2.23 per unit in power tariff for the ex-Wapda distribution companies (Discos) for October under the monthly fuel adjustment formula.

This adjustment/relief will be available to the domestic consumers throughout the country except in Karachi and the lifeline consumers, a statement said. K-Electric is a privatised company and distributing its own generated electricity to the consumers in Karachi and thus is not covered under this determination. Lifeline consumers who are consuming up to 300 units per month are already provided subsidized electricity. This compensation will be available to consumers in their November 2017 bills.

Nepra took the decision while hearing a tariff petition of Central Power Purchasing Agency (CPPA) that requested a cut in tariffs due to variation in fuel charges. The reduction is expected to provide power consumer with a relief of worth Rs22 billion.

There are 10 ex-Water and Power Development Authority (Wapda) companies, namely Faisalabad, Gujranwala, Hyderabad, Islamabad, Lahore, Peshawar, Quetta and Tribal Areas electric supply companies and Sukkur and Multan electric power companies.

Earlier, CPPA sought Rs2.2051/kilowatt-hour (kWh) over fuel charge of Rs7.3369/kWh already set by the authority for Discos for October. Nepra, under a law, ought to review and revise the approved tariff due to any variation in the fuel charges on monthly basis.

In October, hydropower generation stood at 2,438.39 gigawatt per hour (GWh). Similarly, a total 687.36 GWh units of power were generated from coal with cost of Rs4.2909/unit. Residual fuel oil-based power plants produced 2,547.48 units with cost of Rs9.7511/unit. Gas-based power generation stood at 1,863.17 units with a unit cost of Rs4.6340, while a total of 48.62 GWh units were imported from Iran at Rs10.63/unit and 65.56 units of electricity with baggasse were generated at Rs6.1428/unit in October. Total 9,866.41 units were delivered to Discos at a total cost Rs50,632.31 as a unit cost of electricity was registered at Rs5.1318 during the month.