Good news for Karachiites as NEPRA reduces electricity price by Rs4.87
The National Electric Power Regulatory Authority (NEPRA) on Thursday reduced power tariff by Rs4.87 for K-Electric consumers on account of fuel cost adjustment (FCA) for August 2022.
NEPRA heard K-Electric’s petition to reduce electricity by Rs4.21 per unit in the context of monthly fuel adjustment for August.
During the hearing, NEPRA officials said that K-Electric is generating very expensive electricity from its own resources of Rs37.68 per unit.
K-Electric officials said that the consumption of LNG and furnace oil decreased in August while the cost of power generation also decreased due to lower fuel prices.
Officials added that K-Electric has submitted a plan to NEPRA to increase power generation through alternative sources.
Chairman NEPRA called for a comprehensive plan and asked the officials of the electricity company that how will the tariff of K-electricity be reduced by adding new power plants?
He said that there is a big difference between the production cost of KL and the Central Power Purchasing Agency (CPPA) data, the government is bearing a burden of around Rs15 per unit and the government should collect this burden from the consumers.
After the hearing, NEPRA has approved reduction in electricity price by Rs4.87 per unit for K-Electric consumers for one month, however, NEPRA will issue a detailed decision and notification later.
This reduction will not apply to Lifeline customers of K-Electric.
Chairman NEPRA called for a comprehensive report on power generation from alternative sources and directed K-Electric to take steps to generate cheap power.