NEPRA increases power tariff by Rs0.64 per unit

Islamabad – The National Electric Power Regulatory Authority (NEPRA) has allowed the ex-WAPDA Discos an increase of Rs.0.64 per unit in power tariff under the Fuel Charges Adjustment (FCA) for the month of February.

The decision will have an impact of Rs 5.28 billion on the consumers of the Discos. In its petition, the CPPA said it had charged consumers a reference fuel tariff of Rs4.1414 per unit in February while the actual fuel cost turned out to be higher. Hence, it should be allowed to charge Rs0.6573 per unit additional cost from consumers. The petition for tariff increase was filed by CPPA on behalf of ex-Wapda distribution companies (Discos).

However, NEPRA had conducted hearing on the CPPA petition on March 30, and reserved the judgment. In its decision on the petition released on Tuesday the regulator has allowed an increase of Rs. 0.6416 per unit instead of the demanded Rs 0.6573 per unit.

According to the data provided to NEPRA by CPPA, the energy generation in February 2021 was recorded at 7281.01 GWh at the cost of Rs 34.311 billion (Rs 4.7123 per unit). The total electricity sold to Discos was 6996.37 GWh for Rs33.573 billion. The total transmission losses during February were to 3.91 percent. As per the data submitted by the CPPA, the share of hydropower generation in February was 27.93 per cent or 2033 GWh which was almost double than January 2021.

The power generation from coal-fired power plants decreased from 2,559 GWh (31.68 per cent of total generation) in January to 1902.98 GWh in February. The cost of the generation, however, increased from Rs 6.47 per unit in January to Rs 7.0621. The use of RFO power generation decreased from 974 GWh (12 per cent of total generation) to only 77.31 GWh or 1.06 per cent. The tariff for RFO based electricity also decreased from Rs 12.3460 per unit in January to Rs 11.8971 per unit. No HSD based electricity was generated in February as compared to 46 GWh during January.

Electricity generation in February from gas-based power plants was 906.37 GWh or 12.45 percent which was less than 1,333.80 GWh (16.751 per cent of total generation) during the previous month. However, the cost of gas based electricity increased from Rs 7.6191 per unit in January to Rs 7.7156 per unit in February.

The generation of RLNG based electricity increased from 916.42 GWh (11.34 per cent of total generation) in January 2021 to 1271.04 GWh or 17.46 percent in February. The cost of the electricity, however, increased from Rs 8.3184 per unit in January to Rs8.8252 per unit in February.

The adjustment an increase of Rs.0 64164 per unit shall be applicable to all the consumers categories except lifeline consumers of all the XWDISCOs. The said adjustment shall be shown separately in the consumers’ bills on the basis of units billed to the consumers in the month of February 2021 by the XWDISCOs. XWDISCOs shall reflect the fuel charges adjustment in respect of February 2021 in the billing month of Apr) 2021.