ISLAMABAD: National Electric Power Regulatory Authority (NEPRA) has imposed a fine of Rs 10 million on National Transmis-sion & Despatch Company (NTDC) for its failure to satisfy the Authority in the matter of revision in minimum loading limit of Lalpir and Pakgen power plants.

According to NEPRA, minimum loading limit of Lalpir and Pakgen power plants was revised from 20 percent to 50 percent in April 2021, whereby, GM (System Operation) had opined to CPPA-G that there will be no adverse operational effect of the said revision on national grid. However, the succeeding GM (System Operation) informed that the said revision had adversely affected system operation and has led to increase in generation basket price. NEPRA inquired from NTDC/NPCC to clarify the reasons for its change in stance of the later GM.

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However, NTDC/NPCC failed to satisfy the Authority. Subsequently, the Authority initiated legal proceedings against NTDC. Consequently, an explanation dated October 13, 2021, was issued to NTDC under Rule 4(1) of the NEPRA (Fines) Rules 2002, followed by a show-cause notice dated December 30, 2021, under Rule 4(8) & (9) of the NEPRA (Fines) Rules 2002.

Moreover, an opportunity of hearing was also granted to NTDC on April 06, 2022, however, NTDC failed to provide any satisfactory response and was found guilty of violating relevant provisions of the NEPRA Act, Rules, and Regulations made thereunder. Therefore, the Authority has imposed a fine of Rs 10 million on NTDC.

Copyright Business Recorder, 2022

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