XWDiscos consumers all set to enjoy another drop in power bills next month

CPPA-G seeks Nepra’s nod to refund Rs1.01 per unit to consumers on account of monthly FCA

ISLAMABAD  -  The consumers of Ex-Wapda Discos (XWDiscos) are all set to enjoy another drop in power bills next month, as the Central Power Purchasing Agency (CPPA-G) has sought the National Electricity Power Regulatory Authority’s nod to refund Rs1.0159 per unit to consumers on account of monthly FCA for the fourth consecutive month.

In the petition submitted with Nepra, CPPA-G claimed that the reference fuel charges for October 2024 were Rs10.2752 per unit, while the total cost per unit amounted to Rs9.2593 per unit, and requested the regulator that Discos should be allowed to refund Rs1.0159 per unit differential to consumers on account of FCA for October 2024. According to CPPA-G, the reduction is due to variations in the cost of fuel sources used to generate electricity in the month of October 2024.The fuel charges adjustment request is based on data provided by CPPA-G, detailing the fuel costs for various electricity generation sources. According the data, the power generation in October 2024 increased by 7.21 per cent to 10,262 GWh from 9,572GWh during the same month last year, however, in comparison with the generation of 12,487 GWh, in September 2024, it has declined by 17.82 per cent. According to the data shared with Nepra, the CPPA-G indicated that a total of 10,262GWh electricity was generated in October 2024 at the cost of Rs92.966 billion (or Rs9.0589 per unit). Moreover, 9,981GWh was delivered to Ex-Wapda Discos at Rs92.413 billion (Rs9.2593 per unit), including previous adjustment of Rs1.091 billion or Re0.1063 per unit, while transmission losses stood at 2.45 percent. The generation cost of the electricity increased from Rs8.2605 per unit in October 2023 to Rs9.0589 per unit during the month under consideration, however, as compared to the generation cost of Rs9.0949 in September it has slightly been decreased. Similarly, the transmission losses also declined from 2.93 percent in October 2023 to 2.45 percent during the month under review.

According to data, hydel generation continues to be the largest contributor and delivered 3,187GWh or 31.06 percent of total generation. As per the data, generation from local and imported coal has surged from 1,334 gigawatt-hours (GWh) and 336 GWh respectively in October 2023 to 1,518GWh and 903 GWh during the month under consideration. Imported coal accounted for 8.79% of the generation mix, with a higher cost of Rs16.9110 per unit. The share of electricity from indigenous coal stood at 14.7 percent at a cost of Rs11.18 per unit. The regulator was informed that expensive electricity of 2GWh or 0.02 per cent was generated from furnace based power plants at a cost of Rs29.14 per unit. The share of electricity imported from Iran was 42 GWh or 0.41 percent at a cost of Rs25.3 per unit. RLNG (Re-gasified Liquid Natural Gas) also played a significant role, contributing 2003 GWh or 19.51% of the generation at a cost of Rs22.6426 per unit. The electricity generation through indigenous gas contributed 826GWh or 8.05%, at a cost of Rs14.2504 per unit. Nuclear power was among the least expensive, contributing 1442GWh or 14.05% of total generation at Rs1.5122 per unit. The National Electric Power Regulatory Authority (NEPRA) has announced a public hearing to consider a proposed adjustment in fuel charges for the Ex-WAPDA Distribution Companies (XWDISCOMs) for the month of October 2024. NEPRA has invited all interested to participate in the upcoming hearing scheduled on November 26.

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