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ISLAMABAD: Power Distribution Companies (Discos) have sought substantial increase in their respective tariffs for supply of power for five years from 2020-21 to 2024-25 to recover O&M cost, cost of working capital, power supply margin, supplemental charges, other income Late Payment Surcharge (LPS) and Prior Year Adjustments (PYAs).

Multan Electric Power Company (Mepco) has requested Nepra to approve its net average sale at Rs 21.12 per unit for 2020-21, Rs 19.49 per unit for 2021-22, Rs 21.52 per unit for 2022-23, Rs 22.25 per unit for 2023-24 and Rs 23.82 per unit for 2024-25.

The proposed tariff is meant for total revenue requirement of Rs 353,630 million for 2020-21, Rs 343,796 million for 2021-22, Rs 387,897 million for 2022-23, Rs 409,663 million for 2023-24 and Rs 447,850 million for 2024-25.

Peshawar Electric Supply Company (Pesco) intends to fix net average sale rate for FY 2020-21 at Rs 25.11 per unit, for FY 2021-22 at Rs 25.50 per unit, for FY 2022-23 at Rs 25.77 per unit, for FY 2023-24at Rs 25.96 per unit and for FY 2024-24 at Rs 26.07 per unit.

According to Pesco, its revenue requirement for FY 2020-21 is Rs 237,260 million, FY 2021-22 Rs 251,820 million, for FY 2022-23 Rs 265,937 million, for FY 2023-24 Rs 279, 929 million and FY 2023-24 Rs 293.784 million.

Gujranwala Electric Power Company (Gepco) has requested Nepra to approve its net average sale rate for FY 2020-21 at Rs 16.19 per unit, FY 2021-22 Rs 19.03 per unit, FY 2022-23 Rs 20.77 per unit, FY 2023-24, Rs 20.98 per unit and for FY 2024-25, Rs 22.21 per unit.

Gepco’s estimated projected revenue requirement supply for FY 2020-21 is 174,206 million, for FY 2021-22 214,909 million, FY 2022-23 Rs 246,365 million, FY 2023-24 Rs 261,291 million and for FY 2024-25 Rs 290,400 million. Discos have also sought Prior Year Adjustment (PYA) for the FY 2020-21.

National Electric Power Regulatory Authority (Nepra) will hold a public hearing on August 4, 2021 on the tariff petitions of Discos.

Nepra had allowed Distribution Margin (DM) of Rs 1.57 per unit to Mepco, Rs 1.88 per unit to Gepco and Rs 1.99 per unit to Pesco. However, for FY 2020-21, Mepco, Gepco and Pesco have sought DM of Rs 3.25 per unit, Rs 3.03 per unit and Rs 4.03 per unit respectively. The expected increase in DM for Mepco is Rs 1.68 per unit, Gepco, Rs 1.16 per unit and Pesco Rs 2.03 per unit.

Copyright Business Recorder, 2021

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