KARACHI: K-Electric (KE) has reiterated that the company’s supply tariff petition to Nepra will not impact customer bills. The request has been submitted under KE’s Multi-Year Tariff for the period from FY 2023-24 to FY 2029-30. This petition outlines the various cost components necessary to ensure a reliable and efficient supply of electricity to a growing number of customers.
The price of electricity charged to customers in their monthly bills remains governed by the uniform tariff policy set by the government, which ensures the same charges for each customer category across the country.
As a vertically integrated utility responsible for managing generation, transmission, and distribution of electricity, these costs comprise almost 90 percent of KE’s request. These are crucial to ensure a steady and reliable supply of electricity to homes and businesses, with minimal disruption and efficient service.
The remaining components have been requested to further enhance the utility’s ability to maintain cash-flows and account for operational risks due to changes in the macroeconomic situation, such as increases in KIBOR rates, while also fostering a culture of regular bill payments.
Distribution companies across Pakistan undergo a similar process under their Multi-Year Tariffs. The last determinations announced by Nepra in this regard were in March 2024.
K-Electric’s Multi-Year Tariff petition is currently under deliberation by Nepra. The company remains committed to driving efficiency and improvement in its business through a combination of innovative technologies and targeted investments.
Copyright Business Recorder, 2024
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