Unsettled tariff hike a sword of Damocles

KARACHI - The issue of 35pc-tariff increase allowed by NEPRA is under review by a Committee constituted by the government. This pending decision is expected to be resolved within a week and necessary adjustments, if the company will make any.

Till the decision is pending, the consumers have to submit 60pc of their bills. “This 40pc amount will remain as arrears in the consumers account,” said an official. “The company will see what action to be taken once the decision about the tariff hike is sorted out,” he added.

KESC had reduced its generation by 5.15pc during the period Jul-Sep 08. This was mainly due to 12.4pc reduction in generation at Bin Qasim power plant. This was partly balanced by increased generation at other plants by 7.25 per cent.

All this caused 5.15pc reduction in KESC generation as mentioned in the financial statement of the company.