Recoveries under QTA: Discos seek positive adjustment of Rs1.7 per unit

ISLAMABAD: The power Distribution Companies (DISCOs) have sought positive adjustment of Rs 1.7 per unit to recover additional amount of Rs 22.563 billion from consumers for first quarter (July–September) of FY 2023-24 under Quarterly Tariff Adjustment (QTA) mechanism.

National Electric Power Regulatory Authority (NEPRA) is scheduled to conduct a public hearing on November 14, 2023 on the petition of DISCOs filed by Central Power Purchasing Agency Guaranteed (CPPA-G).

Of the total requested adjustment of Rs 22,563 billion, Rs 12.126 billion is on account of capacity charges to be paid to power plants.

Nepra ‘baffled’ by Discos’ power acquisition programme

According to data shared with NEPRA, Islamabad Electric Supply Company (IESCO) has sought positive adjustment of Rs 5.542 billion for the first quarter; Lahore Electric Supply Company (LESCO), Rs 10.308 billion, Gujranwala Electric Power Company (GEPCO) Rs 396 million , Faisalabad Electric Supply Company (FESC), Rs 4.189 , Multan Electric Power Company (MEPCO) negative adjust of Rs 520 million, Peshawar Electric Supply Company (PESCO), Rs 2.096 billion and Hyderabad Electric Supply Company (HESC)), Rs 1.056 billion, Quetta Electric Quetta Supply Company (QESCO) negative adjustment of Rs2.625 billion, Sukkur Electric Supply Company (SEPCO) adjustment of Rs 926 million and TESCO Rs 1.195 billion.

According to QTA’s adjustment request, financial impact of capacity payment power generation units was Rs 12.126 billion of which share of FESCO was Rs 3.639 billion, GEPCO negative Rs 620 million, HESCO Rs 09 million, IESCO negative Rs 3.743 billion. LESCO, Rs 10.754 billion, MEPCO negative adjustment of Rs 2.754 billion, PESCO negative Rs 93 million, QWSCO negative Rs 3.313 billion, SEPCO Rs positive adjustment of 138 million and TESCO Rs 927 million.

The total requested amount for variable O&M is Rs 4.2617 billion, Use of System Charges (UoSC) and Market Operator Fee (MOP) Rs 10.247 billion and impact of T&D losses on monthly FCA, Rs 6.617 billion. However, impact of incremental units will have negative impact of Rs 11.047 billion.

Copyright Business Recorder, 2023