ISLAMABAD: On Wednesday, the National Electric Power Regulatory Authority (Nepra) announced a power pricing rise of Rs0.42 per unit due to a quarterly adjustment.
The permission came after the power sector regulator held a public hearing.
The increased pricing will be imposed to electricity customers for three months, according to Nepra. After reviewing the data given by the electricity companies, it will make a detailed decision.
The power distribution companies (DISCOs) argued in their petition that they should be allowed to receive about Rs10.54 billion from customers as a result of quarterly pricing adjustments.
They sought to collect costs for capacity, transmission, market operator fees, transmission and distribution charges, and variable maintenance and operation charges.
Tesco demanded that Nepra allow it to recover Rs4.34 billion, Peshawar Electric Supply Company (Pesco) wanted to collect Rs2.07 billion, and Gujranwala Electric Power Company (Gepco) wanted to collect Rs1.97 billion.
Iesco (Islamabad Electric Supply Company) requested a Rs1 billion adjustment, Mepco (Multan Electric Power Company) Rs1.80 billion, and Hesco (Hyderabad Electric Supply Company) Rs1.91 billion.
Officials from Nepra, on the other hand, said that the electricity firms did not offer complete figures
DISCOs had an 85 percent recovery rate, with the rest falling into the budget deficit, they said, adding that the rupee’s value had halved against the dollar.
“The only function of DISCOs is to sell energy; can’t they do it properly?” Nepra Chairman Tauseef Farooqui commented.
“We have to keep our promises to the power plants,” the chairman said, adding that Nepra had raised the issue of power company privatisation at all levels.
Despite government efforts, the energy sector continues to be plagued by problems. Circular debt is a major issue in the energy sector.