Wednesday, November 29, 2023

Nepra increase Upto Rs2.97 per unit tariff

Nepra (National Electric Energy Regulatory Authority) approved an increase of up to Rs2.97 per unit in the tariff for electricity consumers of former Wapda distributors (Discos), as the government granted power cuts of up to 1,500 MW due to a shortfall in load-shedding.

Nepra said the tariff increase includes a new surcharge of Rs1.25 per unit for all customers except residential customers and a quarterly adjustment of Rs1.72 per unit for all customers.

However, for domestic consumers using up to 300 units no tariff will increase. But an increase of Rs 1.72 per unit will apply to consumers using more than 300 units.

However, the quarterly tariff adjustment (QTA) of more than Rs1.72 per unit would come into effect on 1 October to minimize the impact, replacing the existing QTA of Rs1.62 per unit that expires on 30 September. Therefore, effectively the tariff increase for residential consumers will rise by around Rs8 paisa per unit, except for consumers who use up to 300 units per month. However, the tariff for all other consumer categories will effectively increase by Rs 1.36 per unit.

The tariff increase for all other categories – commercial, general, industrial, single-point supply, temporary supply, residential settlements of industrial units, and agriculture – was placed at Rs 2.97 per unit, except for agricultural tube wells, for which the increase will be Rs 2 0.66 per unit.

“With the surcharges proposed by the federal government for various categories of consumers, it should be clarified that Nepra did not charge any of these surcharges; rather, it is the federal government that has the statutory power to do the same,” the regulator’s dispatch said, adding that such a surcharge should be considered a cost to be included in the tariff determined by Nepra.

“Therefore, the category surcharges proposed by the federal government were included in the instant decision,” the regulator said. The revised rate will remain applicable from October 1, 2021, and will remain in effect until September 30, 2022, he added.

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