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Nepra disagrees with K-Electric over tariffs

byCT Report
02/07/2016
in Business
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KARACHI: The National Electric Power Regulatory Authority (Nepra) has again disagreed with K-Electric over the adjustment in tariffs for consumers as it has asked the privatised firm to cut power-price by Rs0.33 per unit against its request of Rs0.16 per unit in July billing.

The regulator, in its ruling on Friday, said that the adjustment shall be shown separately in the consumer bills of July 2016, on the basis of billed units for the month of April.

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The adjustment for the month of April shall be applicable to all the consumer categories except lifeline consumers, agriculture consumers and domestic consumers consuming up-to 300 units.

The difference in fuel price originates from different calculation mechanism, since K-Electric’s cost component takes into account daily fluctuations, whereas Nepra uses “monthly weighted average method to work out the rate of furnace oil consumed in Bin Qasim Power Station-I and the same has been used in calculation of fuel charges variations of the current month [April].”

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