ISLAMABAD-The Central Power Purchasing Agency (CPPA) has sought 20 paisas per unit increase in power tariff on account of fuel charges adjustment (FCA) for DISCOS for the month of September.

The CPPA has submitted plea to the National Electric Power Regulatory Authority (NEPRA) on account of fuel charges adjustment (FCA) for DISCOS for the month of September 2022. The power tariff is expected to increase by 20 paisas per unit after a plea for hike from CPPA was filed with the NEPRA. The NEPRA would hear the application later this month at the NEPRA head office here to consider the monthly FCA — a system through which electricity prices are adjusted as fuel prices fluctuate.

According to data submitted to Nepra, in September 2022, hydel generation was 4,403.81 GWh constituting 34.20 percent. Power generation from coal-fired power plants was 1,449.20 GWh in September 2022 which was 11.25 percent of total generation at a price of Rs17.9796 as prices of imported coal have increased substantially. Generation from HSD was zero. Generation from RFO was 1,080.48 GWh (8.39 percent of total generation) at Rs 34.6142 per unit. Electricity generation from gas-based power plants was 1,205.50 GWh (9.36 percent) at Rs 10.7489 per unit. Generation from RLNG was 1,821.18 GWh (14.14 percent of total generation) at Rs26.0337 per unit.

Electricity generation from nuclear sources was 2,265.51 GWh at Rs 1.0391 per unit (14.14 percent of total generation), and electricity imported from Iran was 53.65 GWh at Rs21.8453. Nepra is approving the cost provisionally because the agreement between Pakistan and Iran has expired. Power generation from different sources (mixed) was 15.88 GWh at a price of Rs 4.6741 per unit, generation from bagasse recorded at 34.03 GWh price of which has been calculated at Rs 5.9822 per unit. The energy generated from wind was recorded at 466.88 GWh, 3.63 percent of total generation and solar at 81.69 GWh, 0.63 percent of total generation in September 2022. The CPPA-G in its tariff adjustment request advocated that the reference fuel charges for September 2022 were fixed at Rs9.9114 per kWh while the actual fuel charges were recorded at Rs10.1160 per kWh. 

So an increase of Re0.2046 per kWh in the power tariff should be made for the month of August under FCA mechanism. NEPRA, in a public notice, has invited all the interested/affected parties to raise written/oral objections as permissible under the law at the public hearing. It is worth mentioning here that earlier this week, National Electric Power Regulatory Authority also notified an increase of Re 0.1918/unit in power tariff for the ex-WAPDA Discos (XWDiscos) on account of FCA for the month of August 2022. Due to the increase, there will be an additional burden of more than Rs 2.6b on the Discos consumers. The increase will be charged from the consumers in their October bills.