Discos, KE’s tariffs: CPPA-G seeks up to Rs1.5 negative adjustment

ISLAMABAD: The Central Power Purchasing Agency –Guaranteed (CPPA-G) has sought negative adjustment of up to Rs 1.50 per unit in tariff of power Distribution Companies (Discos) and K-Electric to pass on an amount of Rs 51.493 billion to the consumers for the third quarter of (Jan-March) CFY 2024-25 under Quarterly Tariff Adjustment (QTA) mechanism.

National Electric Power Regulatory Authority (Nepra) is scheduled to conduct a public hearing on April 29, 2025 on the petitions filed by CPPA-G as the Market Operator.

Of the total requested negative adjustment of Rs 51.493 billion, Rs 47.124 billion is on account of capacity charges, which have substantially reduced due to revision in Power Purchase Agreements (PPAs) with the IPPs.

According to data shared with Nepra, Islamabad Electric Supply Company (IESCO) has sought negative adjustment of Rs 1.762 billion for the third quarter; Lahore Electric Supply Company (LESCO) negative adjustment of Rs 9.077 billion, Gujranwala Electric Power Company (GEPCO) negative Rs 7.204 billion, Faisalabad Electric Supply Company (FESCO) negative Rs 4.690 billion, Multan Electric Power Company (MEPCO) negative Rs 15.646 billion, Peshawar Electric Supply Company (PESCO) negative Rs 2.662 billion, Hyderabad Electric Supply Company (HESCO) negative Rs 3.903 billion, Quetta Electric Quetta Supply Company (QESCO) negative Rs 2.238 billion, Sukkur Electric Supply Company (SEPCO) negative Rs 3.494 billion and Tribal Electric Supply Company (TESCO) negative Rs 4.314 billion.

The total requested amount for variable O&M 829 million, Use of System Charges (UoSC) and Market Operator Fee (MOP) Rs 1.807 billion and impact of T&D losses on monthly FCA, negative Rs2.046 billion. However, impact of recovery of fixed cost incremental units is negative Rs 4.493 billion.

Meanwhile, Discos have also sought negative adjustment of Re 0.0309 per unit in Fuel Charges Adjustment (FCA) for the month of March 2025 to refund Rs 250,722,600 to the consumers. The total net delivered electricity to Discos stands at 8,114 GWh at a price of Rs 9.2251 per unit against the reference price of Rs 9.2560 per unit. The Authority would hold a public hearing on April 29, 2025.

Copyright Business Recorder, 2025