Nepra Approves Rs2.97 cut in Power Tariff

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Friday approved a Rs2.97 per unit cut in power tariff under the head monthly fuel price adjustment for the month of November.

The regulatory authority made this decision during a public hearing which was chaired by Tariq Sadozai, chairman of Nepra on Friday. The regulator took this decision while hearing the plea of Central Power Purchasing Agency (CPPA), which has sought adjustments of variation incurred in the fuel cost for power generation last month.

Earlier, the CPPA, in its petition submitted with the regulator, sought Rs2.92 per unit reduction in power price on account of monthly fuel price adjustment. Also, the regulator by approving Rs2.97 per unit decrease in power prices approved Rs19 billion worth relief for all power consumers except K-Electric.


The CPPA pleaded that total 6.54 billion units of electricity were sold to electricity distribution companies (DISCOs) in the last month. Fuel cost on power generation recorded at Rs4.49 per unit, while reference fuel cost was set at Rs7.41 per unit. Also, power production with furnace and diesel oil was reduced by 1.66 billion units in the said span of one month, if the power generation during October is counted.

Similarly, power generation with diesel and furnace oil in October stood at 3.25 billion units of power while in November it remained at 1.39 billion units. In October, fuel cost for power generation with furnace oil was set at Rs15.64 per unit, while it remained at Rs13.85 per unit.

Reduction in power generation with expansive fuel played a role in reducing the power generation cost. Available documents also said that total 8.13 billion units of electricity were produced, while in November it remained at 6.54 billion.

It was also learnt that fuel cost for power generation with coal registered at Rs4.49 per unit, gas at Rs4.16 per unit, nuclear at Rs1.18 per unit and electricity cost of imported Iranian electricity was recorded at Rs9.69 per unit in November. – Dawn