Power consumers to pay Rs1.78 per unit extra for July bills

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Wednesday allowed power distribution companies, except K-Electric to charge Rs1.78/unit extra from power consumers on account of monthly fuel price adjustment for July 2019.

The regulator maintained that this increase was allowed as in July the electricity was sold to consumers at low price. This decision of increase was made by the regulator in a public hearing presided over by Nepra Chairman Tauseef H Farooqi, on the petition filed by the Central Power Purchasing Agency (CPPA) on behalf of the distribution companies (Discos).

Nepra has allowed an increase of Rs1.78 per unit against the demanded Rs1.9267 per unit. The distribution companies would collect Rs24.6 billion extra from consumers. Nepra Vice Chairman Bahadur Shah asked CPPAwhether merit order was followed while generating the electricity.

The CPPA official responded that merit order was followed. The cost of electricity would have been reduced by Rs5 billion if RLNG had been used instead of furnace oil, the Nepra’s official remarked.