Power tariff goes up by Rs1.33 per unit

Increase will not apply to household and KESC consumers.

ISLAMABAD:

The National Electric Power Regulatory Authority (Nepra) on Tuesday approved an increase of Rs1.33 per unit in power tariff on account of fuel price adjustment for December 2012.

This tariff rise will not cover household consumers and the Karachi Electric Supply Company (KESC).

However, the decision will not be implemented until the Islamabad High Court, which has given a stay order in a case challenging the collection of fuel price adjustment surcharge, gives its ruling.

Following its implementation, power distribution companies are expected to receive an additional Rs8.289 billion, which will help meet their expenses.

Nepra took the decision at a hearing held here at its secretariat, chaired by Habibullah Khilji, in response to a petition filed by the Central Power Purchase Agency (CPPA).

CPPA had sought an increase of Rs1.3655 per unit in electricity rate for December because of high fuel cost.

In the petition, CPPA said it sold 6.233 billion units of electricity to power firms and fuel cost stood at Rs55.825 billion for December. As a result, actual cost of power production for the month was Rs8.95 per unit compared to reference price of Rs7.59 per unit, a difference of Rs1.36.



In the month, 1.655 billion units of hydroelectric power were generated at a rate of Rs0.07 per unit, costing a total Rs127.35 million, 2.52 million units were produced through coal at Rs3.73 per unit, costing Rs9.40 million and 171.52 million units through high speed diesel at Rs21.56 per unit, costing Rs3.699 billion. Similarly, 2.677 billion units were generated through furnace oil at a cost of Rs42.252 billion with per unit cost at Rs15.782, 1.512 billion units were produced through gas at a cost of Rs8.723 billion (Rs5.76 per unit) and 287.75 million units through nuclear resources costing Rs332.02 million (Rs1.15 per unit).

Some 24.10 million units were imported from Iran at a cost of Rs232.56 million (Rs6.65 per unit), 107.10 million units were produced through mixed resources costing Rs1.089 billion (Rs10.169 per unit) and no unit was produced through wind energy.

Published in The Express Tribune, January 30^th, 2013.

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