ISLAMABAD: The cost of power generation in the country registered a significant increase by 59%, hitting Rs11.20 KWh in January 2023 compared to Rs7.04 KWh registered in the month of December. However, on a year-on-year (YoY) basis, electricity generation cost declined by 8.3%.
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According to Arif Habib Limited (AHL), on a YoY basis, the decrease in fuel cost is witnessed mainly due to a rise in nuclear, hydel, wind, and solar-based generation.”
Power Generation down by 3.2% YoY during Jan’23
Jan’23: 8,515 GWh (11,445 MW), -3% YoY | +1% MoM
7MFY23: 77,085 GWh (14,939 MW), -7% YoYFuel Cost
Jan’23: PKR 11.20/KWh, -8% YoY | +59% MoM
7MFY23: PKR 9.36/KWh, +22% YoY@MoWP15#NEPRA #PowerGeneration #Pakistan #Economy #AHL pic.twitter.com/WNjRNAMvPH— Arif Habib Limited (@ArifHabibLtd) February 20, 2023
“While on MoM basis, the rise in fuel cost is triggered by a decline in hydel and nuclear-based generation,” it added.
The power generation in the country witnessed a marginal increase of 1.2% on a monthly basis to 8,515 GWh (11,445 MW) in January 2023, compared to 8,417 GWh in December. On a yearly basis, electricity generation registered a drop of 3.2%, as compared to 8,797 GWh (11,824 MW) recorded in January 2022.
During 7MFY23, power generation also decreased by 7.3% YoY to 77,085 GWh (14,939 MW) compared to 83,193 GWh (16,123 MW) during 7MFY22.
Moreover, the cost of power generation during the first seven months of the ongoing fiscal year was up 21.9%, from Rs7.68 in 7MFY22 to Rs9.36 in 7MFY23.
Data on generation mix revealed that electricity generation decline on a yearly basis was led by coal 2,444 GWh, and Residual Fuel Oil (RFO) 463 GWh, which decreased by 16.2% and 62.6%, respectively.
