Extra recovery in Nov FCA: KE asked to return consumers Re0.67 per unit

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra), on Wednesday, asked K-Electric (KE) to return about 76 paisa per unit to its consumers in February on account of lower fuel cost in November 2021.

In a determination, the regulator said the KE had demanded about 32 paisa per unit increase in fuel cost adjustment (FCA) for November 2021.

However, after examination of electric and financial data, public hearing, verification of documents, and cross questioning the Nepra reached the conclusion that the FCA for November should be cut by 76 paisa per unit.

Therefore, it asked the KE to return 76 paisa per unit to consumers in February bills.

“The Authority hereby directs K-Electric that the negative FCA of November 2021 as worked out at Rs0.7591 per unit shall be applicable to all the consumer categories except lifeline consumers, domestic consumers consuming up-to 300 units and Agriculture Consumers of K-Electric”.

The regulator clarified that negative adjustment on account of monthly FCA is also applicable to the domestic consumers having Time of Use (ToU) meters, irrespective of their consumption level.

The revised FCA shall be shown separately in the consumers’ bills on the basis of units billed to the consumers in the respective month i.e. November 2021.

The K-Electric shall reflect the fuel charges adjustment in respect of November 2021, in the billing month of February 2022.

In case, the incremental industrial and winter incentive package becomes applicable in K-Electric, the amount of negative FCA allowed to such consumers would be adjusted in the subsequent adjustments of K-Electric.

Copyright Business Recorder, 2022