SCCI flays power tariff hike under fuel adjustment

PESHAWAR: The Sarhad Chamber of Commerce and Industry (SCCI) has termed the increase in electricity tariff of 48 paisa per unit under the head of fuel adjustment detrimental to the industries and businesses, demanding the government to withdraw the same.

The demand was made by SCCI President Sherbaz Bilour while talking to different delegations of industrialists and traders here at the Chamber’s House on Monday. Sherbaz Bilour said the industries and businesses were already reeling under coronavirus pandemic while a hike in electricity rate under fuel adjustment would affect industrial productivity whereas the trader community could not be able to pay heavy electricity bills. The SCCI chief said that National Power Regulatory Authority (Nepra) had made an increase of 48 paisa per unit in electricity tariff as fuel adjustment for one month. He feared the hike would affect the manufacturing sector, which could halt the industrialization in the province. Furthermore, he maintained, that the electricity production cost was around Rs3.68 per unit in the month of August, while electricity advance fuel cost was Rs3.20 per unit in the afore-stated month. The SCCI chief added the additional recovery would be made from consumers in the month of November which would burden the business community with Rs5billion and that reflected the government’s anti-business and industries policies. Sherbaz Bilour urged the government to take steps to provide relief to the business community, which was still struggling to recover from the disaster caused by the lockdown imposed to contain Covid-19 pandemic.

He said it was unjustified that the government had purchased electricity at the cheapest rate from KP then sells it on higher rates to consumers of this province.