ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has directed to apply an additional cost of Rs1.72 per unit to K-Electric consumers. The decision came under the instruction of Power Division on account of two quarterly tariff adjustments (QTAs) – the second & third quarters of Fiscal Year 2023 (FY23).
As per the directives of Power Division to Nepra, a QTA of Rs0.4869 would be applied to the second quarter & a QTA of Rs1.2489 would be applicable to third quarter of FY23. These charges were prior applied to the consumers of other distribution companies (Discos) of ex-Wapda to maintain a uniform tariff across the country.
Earlier, two public hearings took place on the subject and the regulator agreed to the application. However, the regulator withheld formal notification because of lapses in the language of the decisions taken by the Economic Coordination Committee (ECC). Nepra said that two previous quarters (October 1 to March 31) were not covered emphatically in the approval sent by the cabinet on uniform application of QTAs to KE along with other Discos.
A fresh communication was initiated by the Power Division who assured Nepra that they had rectified the shortcomings of the previous cabinet decisions.
According to the cabinet decision, the adjustment would apply to consumption in July, August and September 2023 which would be recovered by consumers in December 2023, January 2024 and February 2024.
The KE consumers were already bearing the load of Rs1.52 per unit quarterly charges – applicable from December 2023 up to November 2024. The government has made a claim that they have extended Rs416bn subsidy to KE during the past five years and budgeted another Rs298bn for the current fiscal year. It added that in the past six years, the total toll reached Rs714bn.