Nepra cuts the power tariff for KE consumers by Rs 7.43 per unit
The National Electric Power Regulatory Authority (Nepra) approved a reduction of the power tariff for KE consumers by Rs 7.43 per unit on account of fuel adjustment for the month of November 2022.
In another separate hearing, it also indicated to increase power tariff by Rs 3 per unit for KE consumers on account of quarterly fuel adjustments in a bid to reduce subsidy being given by the federal government.KE allowed increasing power tariff by Rs12.6 per unit
In another separate hearing, the power regulator also indicated that it would increase the power tariff by Rs 0.18 per unit for consumers of all other power distribution companies (Discos) on account of fuel adjustment for the month of November 2022.
Increase in tariff for Discos consumers
During a public hearing conducted here, the power regulator said that CPPA had filed a petition seeking an increase in tariff of Rs 0.1938 per unit for the month of November.
However, according to the the scrutiny of data by the power regulator, the power tariff increase was Rs 0.1857 per unit.
The power regulator raised the question of why prior management was not made regarding the demand and supply situation.
It was also informed that there would be a shortfall of electricity in the month of December 2022.
The interveners said that the petitioner had not shown any data regarding the heat rate of power plants. They said that heat rate determined the efficiency of the power plants but that factor was missing.
K Electric Tariff on account of fuel adjustment
During the public hearing, it was also informed that KE had sought a Rs 7 per unit tariff reduction.
However, according to Nepra’s calculation, the reduction in tariff for KE consumers would be Rs 7.43 per unit.
It will provide a relief of Rs 10 billion to KE consumers on account of fuel adjustment for the month of November 2022.
It was also informed that there had been a decline in prices of gas by 6%, RLNG by 22%, and furnace oil by 16% compared to prices in the month of September 22.
KE officials also informed they did not use furnace oil in plants in order to stabilize the system.
In another separate petition, the Power ministry pleaded to increase the power tariff by Rs 3 per unit for KE consumers on quarterly adjustment.
It said that KE was providing electricity at Rs 43 per unit and the government was providing a subsidy of Rs 18 per unit.
Now, the government wants to reduce the rate of electricity from Rs 18 per unit to Rs 15 per unit for KE consumers in order to enforce uniform electricity rates.
The power ministry said that the government was giving Rs 283 billion in subsidies for KE consumers.
It said that the increase in tariffs will be applicable From January 2023 to April 2023.
