Move aims at keeping uniform rate across country: Nepra approves Re0.57 per unit hike in KE tariff

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has approved an increase of Re0.57 per unit in K-Electric (KE) tariff aimed at maintaining a uniform tariff across the country.

The decision was announced in the light of federal government’s motion which came under consideration at Nepra hearing on July 25, 2022.

According to the determination, the Authority has considered the submissions made by the federal government in the motion and during the hearing. The Authority noted that the motion has been filed by the federal government to make the tariff uniform across the country keeping in view the National Electricity Policy 2021.

The Authority further observed that despite the proposed increase of Rs.0.5715/kWh for all categories of the consumers except lifeline, the federal government would be picking up subsidy of Rs.3.98/kWh as explained by the government during the hearing.

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In view of the above, the Authority has decided to accept the Motion filed by the federal government. however, regarding request of the federal government to incorporate the proposed increase in the Schedules of Tariff (SoT) determined for the quarter Oct-Dec 2021 or in the latest SoT for the quarter Jan-Mar 2022, with prospective application, the Authority has decided to issue a separate SoT for the allowed increase of Rs.0.5715/kWh for all categories of consumers except life line, to be applicable for a period of three months effective from August 2022 to October 2022, on consumption of June 2022, July 2022 and August 2022 respectively. The amount allowed shall be accounted for by K-Electric in its subsidy claims.

The Federal Government has also been requested to adjust this amount while processing the subsidy claims of K-Electric. The Nepra’s determination says that upon inquiry during hearing, Power Division submitted that as per the Motion, increase of Rs.0.5715/kWh has been proposed on the consumption of June 2022. July 2022 and August 2022 to be recovered from consumers in July to September 2022, respectively, however, since the month of July 2022 has lapsed, therefore, the raise may be recovered from consumers in August to October 2022, based on the consumption of June, July and August 2022, respectively.

The CPPA-G is also expected to file another Motion to Nepra for increase of Rs 1.50 per unit in KE tariff under QTA mechanism.

Copyright Business Recorder, 2022