MM News

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) has approved to reduce K-Electric’s power tariff PKR 7.43 per unit on account of Fuel Charges Adjustments (FCA) for November 2022.

Power Utility KE’s had requested for a reduction of PKR 7.04 per unit on account of Fuel Charges Adjustments (FCA) for November 2022. A separate hearing was also conducted on Federal Government’s request to apply Quarterly Adjustments on KE consumers.

November’s FCA was lower primarily due to a reduction in prices of RLNG, furnace oil, and power purchased from CPPA-G by 18 percent, 15 percent, and 37 percent respectively as compared to September 2022.

FCAs are dependent on changes in global prices of fuel and are passed on to consumer bills under the prescribed rules and regulations of the NEPRA and the Government of Pakistan.

FCAs are linked with changes in global fuel prices and passed onto consumer bills under prescribed rules and regulations of NEPRA and Government of Pakistan. November’s FCA request was lower primarily due to a reduction in prices of RLNG, Furnace Oil, and power purchased from CPPA-G by 17%, 15%, and 37% respectively as compared to September 2022.

NEPRA also heard Federal Government’s request to apply quarterly tariff adjustment in KE consumer bills. This request was made to maintain a uniform tariff for all electricity users in the country. In its application, the Federal Government had requested an increase of Rs. 1.48 per unit for residential consumers with consumption up to 300 units (excluding lifeline consumers), increase of Rs.3.21 per unit for residential consumers with consumption above 300 units, and an increase of Rs. 4.45 per unit for all other categories.