ISLAMABAD - The Nepra, after a three years delay, has finally approved amendments in the power generation licence of KESC. The delay was ostensibly due to partial disagreement of the shareholders of power utility and the CPPA.
Available documents with The Nation revealed that the regulatory authority had finally approved amendments in the power generation licence of the KESC and power generation capacity of the power utility had been increased by 640mw with effect to this decision of approval, which the private power utility had sought from the regulator in 2009 and 2010. Similarly, Nepra had approved to stop power generation from 125mw Korangi Thermal and 75mw Korangi gas unit through approving amendments in the power generation licence of the private power utility despite the objection of the CPPA and KESC’s Chaudry Associates that had raised objections over the closing of two of the power units. Similarly, regulator had also refused to allow power purchase from two rental power plants on the basis that power could not be purchased after passing of certain time.
It has also been learnt from the documents that the CPPA and KESC’s Chaudry Associates had objected the closing of two of the power units. The CPPA was of the stand that systems of the national transmission and dispatch company (NTDC) would be over burdened with closure of unit No.4 of the Korangi as the KESC had been getting power from the NTDC.
Similarly, the KESC was of the view that above 650mw of power should not be obtained from NTDC. The power company had further said that there would be no increase or decrease in the power tariff with effect to amendments in the power generation licence. And, there would improvements in the power supply to the KESC consumers besides decrease in the expenditures for new power plants and cut in the expenditures of repairing and maintenance of power plants.