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Electricity tariff increased by Re 1.04 per unit
08-03-2011, 11:55 AM
Post: #1
Electricity tariff increased by Re 1.04 per unit
* Hike approved under monthly fuel adjustment for June

* Over 389.47 GWh wasted during June in transmission, distribution loses

By Zeeshan Javaid

ISLAMABAD: National Electric Power Regulatory Authority (NEPRA) on Tuesday allowed eight power distribution companies to increase electricity tariff by Rs 1.04 per unit against the fuel adjustment charge for the month of June.

The distribution companies include Lahore Electric Supply Company (LESCO), Islamabad Electric Supply Company (IESCO), Gujranwala Electric Power Company (GEPCO), Multan Electric Power Company (MEPCO), Faisalabad Electric Supply Company (FESCO), Peshawar Electric Supply Company (PESCO), Hyderabad Electric Supply Company (HESCO) and Karachi Electric Supply Company (KESC).

According to NEPRA sources, the furious hike in the power tariff was approved under monthly fuel adjustment for June.

The federal government has been trying to curtail gap between sale and purchase of electricity, as difference between the power generation cost and electricity billing was Rs 3.25 per unit, which has now been decreased by 49.2 percent or Rs. 1.65 per unit.

While at the beginning of 2011, the power companies required Rs 256 billion government subsidies to fill the gap.

The NEPRA chairman has asked the government to provide uninterrupted supply of fuel to power plants to increase the electric power generation and curtail gap between demand and supply.

Central Power Purchase Agency (CPPA), a subordinate wing of the Water and Power Ministry, had filed a petition before NEPRA, seeking an increase of Rs 1.1344 per unit in electricity billing of June 2011.

More than 389.47 GWh of electricity has been wasted during June in transmission and distribution (T and D) loses while net electricity of 8,798.66 GWh was delivered to all distribution companies with a total cost of Rs 55.950 billion at per unit rate of Rs 6.3590.

It was also informed that 3,302 GWh power was generated during the ending month of fiscal year 2010-11 through Hydel generation resources with a cost of Rs 572.82 million, at a per unit cost of Rs 0.1735, while two major part of the power generation wings, Independent Power Producers and Rental Power Plants, generated 3,139.72 and 2,302.63 GWh from Refined Furnace Oil (RFO) and Natural gas at a cost of Rs 46.339 billion and Rs 7.627 billion, respectively. Interestingly, power generated by RFO and diesel cost Rs 14.7592 and Rs 15.630 per unit, respectively while electricity of 21.74 GWh was imported from Iran at a cost of Rs 186.34 million.
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