CPPA-G proposes Rs0.5755/unit refund

Refund proposed on account of August FCA, NEPRA schedules hearing for Sept 26

ISLAMABAD:

The Central Power Purchasing Agency (CPPA-G) has proposed a refund of Rs0.5755 per unit to power consumers, reflecting a fuel charges adjustment for August 2024. The CPPA-G, representing Ex-Wapda Distribution Companies (XWDiscos), submitted a petition to the National Electric Power Regulatory Authority (NEPRA) seeking approval to pass on this relief to consumers.

According to the petition, the reference fuel charges billed to consumers in August were Rs9.3877/unit, while the actual cost amounted to Rs8.8122 per unit. The CPPA-G has requested that the Rs0.5755 difference be refunded to consumers through their electricity bills. NEPRA has accepted the petition and scheduled a public hearing for September 26, 2024, to finalise the decision.

The CPPA-G's submission provides a detailed breakdown of electricity generation in August. A total of 13,179 GWh of electricity was produced at a cost of Rs98.750 billion, of which 12,752 GWh was delivered to the Discos.

The petition also revealed the cost variations of different fuel sources used for electricity generation in August. Power generated from furnace oil cost Rs30.3188 per unit, a slight decrease from Rs30.965 per unit in the previous month. Imported electricity from Iran was priced at Rs27.2457 per unit, while generation from RLNG plants cost Rs25.7579 per unit. Local coal generation cost Rs12.2738 per unit, and imported coal generation was priced at Rs15.8290 per unit. Natural gas-based power generation cost Rs13.3810 per unit, slightly down from Rs13.7946 per unit in July.

The average generation cost in August 2024 was Rs7.4930 per unit, a drop from Rs8.2654 per unit in August 2023 and Rs8.9578 per unit in July 2024. The data further highlighted a reduction in local coal-based electricity generation, which fell to 1,306 GWh in August compared to 1,506 GWh in July. Hydropower, however, saw a slight increase, generating 5,362 GWh in August, up from 5,341 GWh the previous month.