July fuel adjustment: Nepra okays Rs2.49 cut in power tariff

Total energy generated in July was 11,005 GWh whereas net electricity delivered to Discos was 10,715 GWh

Zafar Bhutta August 25, 2016

PHOTO: REUTERS

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Wednesday approved a Rs2.49/unit decrease in power tariff on monthly fuel adjustment for July this year.

The decision was taken at a public hearing under the chairmanship of Chairman Nepra Brig (retd) Tariq Saddozai on a petition filed by Central Power Purchasing Agency-Guaranteed (CPPA-G)

Consumers using over 300 units a month and agriculture consumers are not eligible for the reduction in tariff.

K-Electric consumers will also not be able to enjoy this relief either.

The total financial impact of Rs16 billion will be passed on to consumers for the month of July this year. CPPA had sought a reduction of Rs2.1369 per unit, citing actual price of Rs4.3564 against the reference price of Rs6.4933 per unit.

CPPA had sought permission to refund Rs2.14 per unit to the consumers. However, the Authority refused to approve the fuel cost of Nandipur power project over and above the Nepra’s approved cost. The Authority also refused to approve fuel cost of Kotri Power Generation Unit after the cancellation of its licence.

According to the CPPA petition, total generation from all sources was 10,714 GWh in July 2016, of which hydel generation was 3,946 GWh; HSD-fired generation 65.53 KWh; RFO-fired generation 3,187 GWh; nuclear and gas 2,054 GWh; RLNG 1,000 GWh; nuclear 434 GWh; import from Iran 45.81 GWh; mixed 8.11 GWh; wind 129.85 GWh; baggasse 68.85 GWh and solar 57.61 GWh.

The price of HSD-fired generation was calculated at Rs12.7632 per unit, RFO Rs7.5032 per unit, gas Rs5.1186 per unit, RLNG Rs5.3452, nuclear Rs1.1603 per unit, Iranian electricity Rs10.6 per unit, mixed, Rs7.7288 per unit and baggasse Rs6.0154 per unit. Transmission losses in July were recorded at 281.8 GWh or -2.56 per cent of total generation.

Total energy generated in July was 11,005 GWh whereas net electricity delivered to Discos was 10,715 GWh, with a total cost of Rs46.6785 billion or Rs4.3564 per unit.

CPPA also included Rs4.701 billion or Rs0.4272 per unit in proposed electricity cost of Rs 4.3564 per unit in July as previous adjustment/supplemental charges and Rs14.461 million as sale to IPPs.

Published in The Express Tribune, August 25^th, 2016.