electricity bill July 2022

Nepra increases power tariff by Rs 4.8 per unit

The National Electric Power Regulatory Authority (Nepra) raised the power tariff by Rs 4.8 per unit on account of a fuel adjustment for February 2022.

The CPPA-G had requested the power regulator to allow an increase of Rs.4.9441 per unit to burden the power consumers with Rs.38.4 billion.

The power regulator conducted a public hearing on March 31, 2022.

However, the regulator has approved the increase of Rs.4.8530/ per unit to put an additional burden of around Rs.37.7 billion on power consumers.

The power distribution companies will charge a fuel cost adjustment for February 2022 in the billing month of April 2022 to all consumer categories of XWDISCOs, except lifeline consumers.

This FCA would remain applicable only for one month. This FCA does not apply to KE consumers.

The Authority had observed that CPPA-G had purchased energy of 33.822 GWH from Tavanir Iran in February 2022 at Rs. 530.628 million.

However, a contract between CPPA-G and Tavanir Iran to import power up to 104 MW expired on December 31, 2021.

Cap on tariff proposed for electric vehicle charging stations

Given this, the power regulator allowed the cost of electricity purchased from Tavanir Iran strictly on a provisional basis, subject to its adjustment once the authority decides on the extension of the contract between CPPA-G and Tavanir Iran.

As per the data submitted by CPPA-G, XWDISCOs purchased 10.148 GWh from captive power plants (CPPs) during February 2022, for which CPPA-G provided exact details of energy purchased from these plants.

Impact of Fuel Cost on power tariff

According to the details provided by CPPA-G, the actual fuel cost of this energy is Rs. 51.960 million.

The regulator had considered it as per the NEPRA-approved mechanism while working out the FCA of February 2022.

During the hearing, the Authority also observed that CPPA  generated energy from costlier RFO-based power plants during the February Fuel Charges Adjustment for February 2022.

NTDCL reported temporary T & T losses of 241.142 GWh. NTDC, in addition, also reported T & T losses of 22.899 GWh for the PMLTC (HVDC) line. 18. NTDCL is allowed T&T losses of 2.80% only at 500KV and 220 KV networks, while PMLTC (HVDC) is allowed T&T losses of up to 4.3%.

The Authority has repeatedly directed NPCC/NTDC & CPPA-G to provide complete justification in this regard, to the Authority’s satisfaction, and to submit complete details for deviations from the Economic Merit Order (EMO), showing hourly generation as well as the financial impact of any variations from the EMO, if any, and the reasons for such deviations.

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