Nepra may allow Discos to recover Rs46.289bn more from consumers

Updated 25 May, 2023

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) is likely to allow Power Distribution Companies (Discos) to recover additional amount of Rs 46.289 billion from consumers at Rs 1.25 per unit for third quarter (Jan-March) of FY 2022-23 under Quarterly Tariff Adjustment (QTA) mechanism.

On Wednesday, the Authority conducted a public hearing to seek further clarifications from the representatives of those concerned on the data of QTA adjustment. The QTA adjustment, included variation of capacity charges, transmission charges, variable O&M and T&D losses and impact of Fuel Charges Adjustment (FCA).

The Authority noted that Discos drawl was 20,538 GWh during the third quarter against reference drawl of 23,282 GWh which was 12 per cent less than projections. In January total drawl was 7,053 GWh against projection of 7,744 GWh whereas in February drawl was 6,364 GWh versus projection of 6,922 GWh. In March drawl was recorded at 7,121 GWh against reference estimate of 8,616 GWh.

Nepra approves positive adjustment in Discos’ tariffs

According to the figures presented by the Nepra’s Tariff Section team of the total requested adjustment of Rs 46.289 billion, Rs 32.889 billion was on account of capacity charges, to be paid to power plants.

Initially, Discos had sought positive adjustment of Rs 44.456 billion, however, the amount was revised upward after three Discos submitted altered figures from those earlier submitted to the Authority.

New figures indicate that Islamabad Electric Supply Company (Iesco) has sought negative adjustment of Rs 5.139 billion for the third quarter, Lahore Electric Supply Company (Lesco), Rs 12.995 billion, Gujranwala Electric Power Company (Gepco) Rs 6.030 billion, Faisalabad Electric Supply Company (Fesco), Rs 10 billion, Multan Electric Power Company (Mepco), Rs 10.120 billion, Peshawar Electric Supply Company (Pesco), Rs 1.424 billion and Hyderabad Electric Supply Company (Hesco), Rs 4.987 billion, Quetta Electric Supply Company (Qesco) Rs 2.365 billion, Sukkar Electric Supply Company (Sepco) negative adjustment of Rs 143 million and Tesco Rs 3.650 billion.

The total requested amount for variable O&M is Rs 5.076 billion, Use of System Charges (UoSC) and Market Operator Fee (MOP) Rs 11.187 billion and impact of T&D losses on monthly FCA, Rs 979 million. However, impact of incremental units has been calculated at negative Rs 3.842 billion.

Copyright Business Recorder, 2023

Read Comments