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ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has asked the National Transmission and Dispatch Company (NTDC) to address the concerns of the provinces after they complained of not including their projects in the NTDC investment plan.

The provinces raised their concerns during a hearing on the NTDC investment plan of Rs369.222 billion for multi-years’ tariff for 2022-23-2024-25 on Monday, said an official.

The Nepra has also asked whether the claimed investment of Rs369.222 billion for multi-years tariff control period is justified with Rs114.303 billion in the fiscal year 2023, followed by Rs145 billion in the fiscal year 2024, Rs109 billion in the fiscal year 2025 for power evacuation projects, system constraints through rehabilitation and system expansion, SEZs, other conversions, protection and up-gradation. The province-wise segregation of the NTDC investment plan included around Rs165 billion in Punjab, Rs135 billion KP, Rs12 billion in Balochistan, Rs24 billion in Sindh, and others Rs33 billion.

As per agenda placed for hearing of the Nepra, it was about cost overrun of around Rs65 billion in 19 projects and this was noted during the hearing.

The Nepra was asked whether it was justified besides that petitioner must provide the project-wise rationale against requested investment and techno-commercial benefits to be achieved through proposed investment in terms of constraints removal, additional energy available for wheeling through megavolt amperes (MVA) additions, reliability and continuity of supply, reduction in transmission losses.

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The NTDC has also claimed cost of Rs582 million for human resource (HR) improvement and capacity building and the regulator asked whether it was justified. The NTDC is required to provide the region-wise allocation of HR cost and future employment plan of staff especially in Hyderabad, Quetta, and Multan to improve the performance of the NTDC.

The regulator has also asked whether the request of the NTDC to allow T&T losses provisionally on an actual basis until the outcome of the independent consultant study is justified. The NTDC is required to provide timelines for the completion of such studies by a third-party consultant.

The provincial governments have stated their projects were not included in the NTDC investment plan upon that the regulator asked the NTDC to address the concerns of the provinces. Sindh said to have sought handing over interconnection lines in the province to the STDC, whereas, KP province said its projects were not included in the NTDC investment plan. Similar concerns were expressed by the Punjab province and wanted that industrial and commercial growth should have been considered in the investment plan.

The power regulator further asked the NTDC to submit the investment plant, in which, small provinces like Balochistan were not ignored.

Copyright Business Recorder, 2023


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