ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has approved an 86-paisa-per-unit reduction in the Fuel Charges Adjustment (FCA) for Distribution Companies (Discos), resulting in a total refund of approximately Rs10 billion to consumers for August 2024.
This adjustment follows a request from the Central Power Purchasing Agency–Guaranteed (CPPA-G), which initially proposed a reduction of 55.75 paisa per unit for the consumption of 12,752 GWh of electricity, aiming for refunds of about Rs7 billion. Consumers will see the adjustment reflected in their October 2024 electricity bills.
During discussions, Nepra members raised concerns over the tariff set for bagasse-fired plants, noting that the approved rates for these plants had significantly increased without sufficient consumer input.
The bagasse tariff climbed sharply from Rs5.98 per kWh in June to Rs12.48 per kWh in August, sparking consumer concerns. Nepra officials emphasized the importance of transparency and public engagement in setting tariffs, especially as the recent bagasse rates now exceed those of local coal.
They urged a comprehensive review of the bagasse tariff to address consumer concerns and support fair pricing.
This decision is seen as a step toward addressing consumer grievances and underscores the need for greater scrutiny of pricing practices within Pakistan’s power sector.
