‘Power bills to drop from June levels’

The National Electric Power Regulatory Authority (NEPRA) on Wednesday was informed by the Power Division that the electricity bills would be lower than June’s after the increase of Rs5.72 per unit — or 19.2% — increase in the base tariff.

The federal government had requested the power regulator to implement a uniform tariff for consumers of distribution companies and K-Electric.

During Wednesday’s public hearing presided over by Nepra Chairman Waseem Mukhtar on the request, the Power Division officials said the price calculation was based on a dollar exchange rate of Rs300, resulting in a 38 paisa per unit increase in capacity payments against last year.

They continued that domestic consumers would be provided with a subsidy worth Rs490 billion.

The officials maintained that 86% of domestic consumers had been provided with a relief of Rs4 to Rs7.

They added that the consumers of the distribution companies were being provided with a cross subsidy worth Rs730 billion.

The Nepra chairman wondered how the billing decrease if the tariff was being hiked. He also pointed out that the June adjustments would be come to an end in July. The Power Division officials responded that the common man felt that his bill would increase.

They assured the Nepra chairman that there would be no major hike in the electricity bills, adding that it was only a tarrif reset.

The officials claimed that after the increase, the bills of the electricity consumers would be lower than the ones in June.

The power regulator reserved its verdict after the completion of the hearing.