ISLAMABAD: The National Electronic Power Regulatory Authority (Nepra) has ordered power companies to reimburse the amount collected on account of fuel price adjustment (FPA) to consumers, Express News reported on Sunday.
In 2011, Nepra had allowed distribution companies of Islamabad, Lahore, Faisalabad, Hyderabad, Gujranwala, Multan, Peshawar, Quetta and Sukkur to charge FPA in power bills.
The amount that will be repaid to energy consumers totals to around Rs35 billion. The amount will be returned to consumers through future monthly bills.
A notification was also issued in this regard on November 29.
The order applies to amount collected from June 2012 to May 2013.
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I read a news item in an English daily a few months back that said that KESC was the only electricity supplier in Pakistan that was turning a profit - despite Karachi having generally less loadshedding than Punjab. The reason? They re-zoned their loadshedding schedule by bill collection. Areas with over 80% collection have zero loadshedding (this includes a lot of middle-class areas), those in the 60-80% range have up to 3 hours, and so on. That's the benefit of being a private corporation - you're not bound by corrupt government practices and can implement solutions that are beneficial to yourself and the customers (most Karachiites - those who pay for their bills - are fairly satisfied with KESC's service).
This shows that the problem isn't just supply and demand, a lot of it has to do with the gross mismanagement at government run organizations.
@Reality Check: Just the non-collection amounts to 120 Billion PKR. Theft is separate. link text
@ Reality Check Some more evidence to show you writing on the wall... "The Pesco press release said electricity theft in Pishtakhara was about 96 percent.... Six power thieves got forcibly released Pesco says FIR lodged against PTI MPA" http://www.thenews.com.pk/Todays-News-7-216355-Six-power-thieves-got-forcibly-released-Pesco-says-FIR-lodged-against-PTI-MPA and this is what even ET reports http://tribune.com.pk/story/637454/power-tussle-pesco-workers-protest-against-pti-mpa-for-allegedly-supporting-electricity-theft/
With patronage of power thieves by PTI MPAs the situation is not expected to turnaround unless those people realize the value of their theft.
@Muslim Leaguer: How about starting any project on the largest coal reserves in Thar? By the way, major reason of slight curtailment in load shedding is because of reduction in demand of electricity due to winters, which is the case every year. However, duration of load shedding was similar, if not more, in the summers this year.
@ Reality Check Dude hold your horses and do a real reality check! I hope you understand the difference between Peshawar Electric Supply Company (PESCO) and Tribal Electric Supply Company (TESCO)?? The recovery rate in TESCO is even lower i.e., 4% and everybody knows about the "war zone" and lack of collectibility from troubled areas. Nevertheless the losses of PESCO are also very high at 40% with some of the areas having very low recovery rate are Hangu, Tal and Bannu etc... Perhaps the pseudo-intellectual trolls are oblivious about these areas being in KPK
And this future is indefinite.
@Muslim Leaguer: "The only good news is that Loadshedding has been controlled significantly in Pakistan (except for a few areas in KPK where the consumers don’t like to pay for usage of electricity. Recovery rate is =<8%)."" why you stupid people always confuse Ttibal areas with KPK.???? just name the areas in KPK where they don't want to pay the bill or just shut off.
@Muslim Leaguer: .....and what about Kala Bagh Dam. It will take only 5 years to be up & running adding loads of Megawatts and irrigate hundreds of acres of land.
....plz make a sincere effort on this front too. PML-N achieve a miracle in 1992 'water sharing formula' among provinces, come on, PML-N can sort out the differences among provinces on this issue too.
regards.
@Mohammad Ali Siddiqui: KESE's electricity generation and pricing is not determined by the NEPRA. KESE' almost entire electricity comes from oil-based plants (except that 650MV from national grid and from KNUPP-1). And secondly KESE is a private entity and has been managing electricity distribution better than DESCOs.
Karachiites have also been paying Fuel Adjustment Charges to KESC for a long time.
Why NEPRA has asked distribution companies of Islamabad, Lahore, Faisalabad, Hyderabad, Gujranwala, Multan, Peshawar, Quetta and Sukkur to repay to energy consumers around Rs35 billion to consumers through future monthly bills and why not NEPRA has asked KESC to refund the amount of Fuel Adjustment Charges to Karachiites as well.
The Federal Government should also treat Karachiites as bonafied citizens of Pakistan and should change its attitude of being a step mother.
The only good news is that Loadshedding has been controlled significantly in Pakistan (except for a few areas in KPK where the consumers don't like to pay for usage of electricity. Recovery rate is =<8%). With work started on various mega projects including Neelam-Jhelum Hydropower, Nandipur Power Generation, Quaid-e-Azam solar energy park in Cholistan and KANNUP2 in Karachi will definitely meet the enhanced demand of electricity requirements due to industrialization and more income & employment opportunities in Pakistan.