ISLAMABAD: K-Electric has requested an increase of around 5.27 rupees per unit in its monthly Fuel Cost Adjustment (FCA) for the electricity it sold to consumers in March to generate 8.6 billion rupees of additional income during the billing month of May.
The Karachi-based power utility had previously requested an increase of Rs 4.89 per FCA unit for March to generate Rs 7.95 billion from consumers, but later revised its request to Rs 5.27 per unit. unit with a revenue impact of Rs 8.6 billion. He said the increase was due to the higher national grid tariff and the cost of RLNG for its own power generation.
The National Electric Power Regulator (Nepra) convened a public hearing on April 27 to consider whether KE’s fuel cost variation request was justified and whether it had followed the order of economic merit when electricity supply from the national grid and from its own power stations.
In its petition filed with the regulator, the power utility demanded to charge an additional cost of Rs 5,275 per unit to its consumers under monthly FCA for March. Once approved, K-Electric will be able to collect Rs8.6 billion from its consumers on their May 2022 monthly bill.
The KE claimed that its request for an increase in the monthly FCA for March was based on the Central Power Purchasing Agency’s request for an increase of Rs 8.56 per unit of FCA for the month of March, which was later raised to Rs 9.39 per unit. In addition, the payment of Gas Infrastructure Development Tax (GIDC) arrears amounting to Rs 762 million per month was charged by the SSGC as per the Supreme Court order.
Posted in Dawn, April 21, 2022