Nepra to increase tariff by Rs3.39 Per Unit
Amid continued protests against power tariff hike, the National Electricity Regulatory Authority (Nepra) said the quarterly changes could allow distribution companies to hike their power tariffs by Rs 3.39 per unit.
The new hike in electricity tariffs will impose an additional burden of Rs 94 billion on consumers who are complaining of already rising bills. Critics blame inefficiency and power theft by distribution companies and flawed contracts with independent power producers (IPPs) created by previous governments for higher electricity tariffs.
Previous governments have politically appointed heads of distribution companies, leading to cases of graft and corruption. This has disrupted Pakistan’s electricity sector, which currently suffers from billions of rupees in revolving debt.
The coalition government increased the basic tariff by 7 lei per unit, leading to an increase in electricity tariffs along with tariff increases due to fuel regulations.
In the past two months, consumers across the country have protested against bill inflation, prompting Prime Minister Shahbaz Sharif to extend fuel change exemptions to users who use up to 300 units per month. However, the main issue is that the basic electricity tariff has been increased from 16 rupees per unit to 24 rupees per unit.
In addition to high electricity prices, consumers also paid more taxes, including some electricity consumer surcharges.
So these new hikes in electricity tariffs will lead to further hikes in consumer bills, leading to more protests. NEPRA organized a public hearing on the DISCO regulations at its headquarters in the fourth quarter of the fiscal year 2021-22. DISCO has sought an increase of Rs 3.39 per unit as part of its Q4 review. The hearing was presided over by Nepra Chairman Tauseef Farooqui. Other Nepra members including Rafiq Ahmed Sheikh and Maqsood Anwar Khan also attended the hearing.
“Current customers are charged 3.21 lei per unit for the previous quarterly review, billed up to September, after which this quarterly review ends,” Nepra said in a statement. The regulator added that consumers would pay an additional 18 pisa per unit for the fourth quarter adjustment compared to the previous quarterly adjustment. Applies to all DISCO customers except Lifeline customers for 3 months.
“The authorities will take a concrete decision after further investigating the data,” he added. Earlier, Wapda DISCO had sought permission from Nepra to deliver a payment of Rs 94.39 billion to electricity consumers on account of a quarterly adjustment for the fourth quarter of financial year 2021-22.
Nepra to increase tariff by Rs3.39 Per Unit
In the petition against Nepra, XWDISCO stated that in the second quarter of the financial year 2021, due to FCA impact on FCA, increase in capacity charges, variable operation and maintenance charges, transport charges, market operation charges and T&D costs. he asked. -22 (April-June 2022). XWDISCO also claimed Rs 54.663 billion for capacity costs, Rs 14.163 billion for UOSC and MOF and Rs 35 billion for T&D expenses.
In the petition, Islamabad Electricity Supply Company (IESCO) offered 8.729 billion rupees, LESCO 17.816 billion rupees, GEPCO 9.257 billion rupees, FESCO 11.624 billion rupees, MEPCO 19.534 billion rupees, 19.2 billion rupees, 19, 2 billion rupees. , QESCO Rs 3.163 billion , SEPCO Rs 2.995 billion, TESCO Rs 3.708 billion
