Azad Jammu and Kashmir: Nepra explores opportunities to facilitate power development initiatives

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Friday deliberated on power sector issues and future plans for Azad Jammu and Kashmir including sale of electricity to K-Electric from Jagran hydropower project.

Chaired by Mathar Niaz Rana, Member (Tariff & Finance) Nepra, the meeting was attended by secretary Power AJK and CEO of K-Electric and his team. The primary focus of the meeting was to address key challenges and explore opportunities for facilitating power development initiatives in AJK.

In his opening remarks, Mathar Niaz Rana shed light on the crucial aspects of the Competitive Trading Bilateral Contract Market (CTBCM) and its implications for the power sector. The KE intends to purchase power from Jagran, I, II and IV.

A comprehensive discussion ensued during the meeting, highlighting the immense hydropower potential in AJK, estimated at a known potential of staggering 23,000 MW and an estimation of about 46,000 MW. The participants examined strategies to streamline the ongoing and upcoming projects that face obstacles from power purchasers, ensuring their smooth resolution.

The K-Electric expressed gratitude to Mathar Niaz Rana for his support in this matter, affirming KE’s commitment to procure cheap hydropower from AJK to bring down the tariff of K-Electric for its consumers, this will also reduce the subsidies being provided by the Government of Pakistan to K-Electric.

Additionally, Mathar Niaz Rana pledged wholehearted support and assistance to the AJK government to actively resolve any hurdle hindering power development in the region.

The government has recently decided to supply 2,182 million unit of electricity to Azad Jammu and Kashmir (AJK) through Central Power Purchasing Agency-Guaranteed (CPPA-G) at a rate of Rs 21.52/Kwh instead of power Distribution Companies (Discos).

According to Nepra, the outcome of the meeting reflects Nepra’s dedication to promoting power development and its commitment to fostering collaboration between stakeholders. The Nepra remains steadfast in its mission to create an enabling environment for sustainable, reliable and affordable power generation.

Copyright Business Recorder, 2023