March 2008 to August 2010: Nepra increased domestic power tariff by 94.9 percent

National Electric Power Regulatory Authority (Nepra) has increased power tariff by 94.9 per cent for domestic, 67. 6 per cent for commercial and 77 per cent for industrial consumers since March 2008 to August 2010. According to a Water and Power Ministry source, the tariff was increased due to hike in fuel prices, more dependence on thermal generation, non-availability of committed gas and increase in administrative expenses.
He said the past government artificially froze power tariff from 2003 to 2007, which led to accumulation of circular debt to Rs 400 billion. He said the energy mix balance has been completely disturbed and currently only 30 per cent of power is being generated by hydel resources while the rest of 70 per cent from thermal ones.
Meanwhile, Pakistan Electric Supply Company (PEPCO) is going to start three to five hours loadshedding from December 26 in urban and rural areas across the country due to annual canal closure. Canals will remain closed till January 31, 2011 under annual de-silting programme. At present, as many as 5,000 MW power is being generated by hydel resources which will be reduced to 2,000 MW due to annual canals closure programme. However, owing to induction of three units of KAPCO and two independent power producers (IPPs) AES Pakgen and AES Lalpir will supply about 1500 MW to the national grid system.