Electricity prices may rise by Rs1.78 per unit

ISLAMABAD: Electricity is likely to become expensive for the entire country, including the capital city, and a hearing in this regard has been completed in NEPRA.

The National Electric Power Regulatory Authority has completed the hearing on the request to increase the price of electricity by Rs 1.78 per unit for the entire country, including Karachi, as a monthly adjustment. NEPRA has reserved the decision, which will be issued later.

The Central Power Purchasing Agency (CPPA) had submitted a request for the monthly adjustment of January to NEPRA and requested an increase of Rs 1.78 per unit.

It was briefed in the hearing that 8.76 billion units of electricity were sold in January. According to the briefing, the estimated cost of fuel per unit in January was Rs 10.39, however, the actual cost of fuel per unit was Rs 12.17.

CPPA officials took the position that the price increased due to low production of hydroelectric power and high consumption.

Member NEPRA Punjab Amna Ahmed said during the hearing that electricity prices are increasing. We were hoping for improvement but things are going in the opposite direction. She raised the question of why furnace oil plants were operated in January?

The authorities replied that furnace oil plants were operated to meet the demand due to the increase in peak demand.

Member NEPRA Maqsood Anwar said that the reason for the increase sought is the use of furnace oil. Amna Ahmed once again said that things are going the opposite of what was thought so far.

It should be noted that according to the application filed by CPPA, this increase will also be applicable to K-Electric consumers under the government policy guidelines.