KE allowed increasing power tariff by Rs12.6 per unit

The National Electric Power Regulatory Authority (Nepra) has allowed KE increasing power tariff by Rs 12.68 per unit on account of quarterly adjustments.

The power regulator in a statement said that K-Electric initially requested a quarterly adjustment for the 4th quarter of FY 2021-22 of Rs.14.852/kWh.

However, subsequently, KE revised its request to Rs. 14.533/kWh.

The power regulator conducted the hearing on August 31, 2022, at NEPRA Tower.

In a decision issued on October 24, 2022, Nepra has allowed a quarterly adjustment of Rs. 12.6818/kWh.

According to the power regulator, the government sets a single rate for the whole country, and the difference is usually made up through subsidies.

During the hearing, the issue was raised as to whether the requested quarterly variations are justified and whether the existing fixed charges applicable to different consumer categories need to be revised.

In its requests for changes, K-Electric has said that it sends out power according to the Economic Merit Order from its own generation units (with the available fuel) and brings in power from outside sources.

It also certifies that the cost of fuel and power purchase claims do not include any amount of late payment surcharge/markup/interest.KE Duplicate Bill | How To Check Online

The power regulator, based on the information, data, and records provided by K-Electric, has analyzed the quarterly adjustments of K-Electric and accordingly, has discussed the issues pertaining to quarterly adjustments and whether the requested quarterly variations are justified.

While going through the data and information provided by K-Electric regarding quarterly adjustments, the power regulator observed that, as per the information submitted by CPPA-G, the energy claimed by K-Electric is in reconciliation with the energy reported by CPPA-G.

KE has claimed Rs. 14,229.26 million for capacity payment and Rs.813.32 million for variable O & M for the cost billed by CPPA-G for energy purchased from the national grid.

The capacity charges and variable O&M claimed by K-Electric have been verified from the DISCO-wise settlement information provided by CPPA-G and have been considered as part of the current quarterly adjustment.

According to a decision made by the Authority on July 5, 2018, K-Electric is not allowed to include any provision in the tariff for doubtful debts.