Slight cut in power tariff likely

Power tariff likely to be cut on account of fuel charges adjustment for July 2024.

ISLAMABAD:

The National Electric Power Regulatory Authority (Nepra) is likely cut the power tariff by Rs0.3142 per unit on account of fuel charges adjustment for July 2024.

The Central Power Purchasing Agency (CPPA) has moved a petition to Nepra that it is ready to refund this per-unit price to the consumers in their September 2024 bills. The power regulator has accepted the petition and scheduled a public hearing for August 28, 2024, to finalise the decision.

The petition stated that the reference fuel charges for July 2024 was Rs9.0378 per unit, while the total per-unit cost amounted to Rs9.352. The CPPA is seeking approval to pay this differential (Rs0.3142) back to the consumers.

The CPPA's application said that a total of 14,880 gigawatt-hours (GWh) of electricity was generated, using various fuels in July, costing Rs133.295 billion. Of this, 14,411 GWh was delivered to the distribution companies (DISCOs).

The petition noted that electricity generated from furnace oil cost Rs30.965 per unit against Rs31.6 in the previous month, imported electricity from Iran was priced at Rs25.1575 per unit against Rs26.6597 in the previous month, and generation from RLNG-based power plants cost Rs24.887 per unit against Rs26.328 in the preceding month.

Besides, local coal-based generation cost was Rs11.3296 per unit compared with Rs11.029 in the previous month and imported coal generation cost Rs16.2 per unit against Rs15.535 in the previous month. Likewise, local natural gas-based generation cost Rs13.7946 per unit against Rs13.927 per unit in the previous month.

The average generation cost in July 2024 was Rs8.9578/unit against Rs8.3387/unit in July 2023 and Rs8.8938 in June 2024. Power generation figures reveal that generation from local coal increased to 1,506 GWh against 1,489 GWh in previous month.

In July 2024, hydropower generation increased to 5,341 GWh against 4,729 GWh in previous month and 5,518 GWh in July 2023. Natural gas-based power generation increased to 1,180 GWh from 1,166 GWh in the previous month and 1,129GWh in July 2023.

RLNG-based generation increased to 2,970 GWh in July 2024 from 2,437GWh in June 2024 and 2,918 GWh in July 2023. Nuclear power saw a reduction to 1,988 GWh during the month under review from 1,998 GWh in June 2024 and 2,107 GWh in July 2023.

No electricity was generated from the high-speed diesel. However, RFO-based generation was 102 GWh against 263 GWh in June 2024 and 295 GWh in July 2023.