Islamabad: National Electric and Power Regulatory Authority (NEPRA) launched a scathing attack on the power divisions effort to limit the regulators main role of determining electricity tariff.
Nepra observed the lowering of qualifying experience of members and Chairman to ten years and retirement age of members and Chairman from 65 to 62, reported a local newspaper.
According to Nepra, the purpose of these amendments is clouded in mystery and the changes will let in the entrance of in-experienced personnel into senior posts, which it chided wasn’t a good omen. Nepra said, lower cadre ex-Wapda officials would become eligible for such positions and could be open to executive pressure.
It added that these amendments would make competent professionals ineligible for such posts and the lowering of retirement age from 65 to 62 years will not keep it in alignment with other entities like SECP, OGRA, PEMRA etc.
Furthermore, National Electricity Plan instituted by the federal government will be applicable on Nepra and power tariff will be decided by them without the permission of Council of Common Interest (CCI).
These amendments are intended to make Nepra, a toothless body which could make it vulnerable to governmental and political pressure.
Nepra shared that preparation of National Electricity Plan by the federal govt was a conflict of interest since the latter controls and owns 80pc of the sector.
It voiced fears that these moves were tantamount to limiting the power and independence of the regulator. The approval of NEP according to NEPRA would pave way for interference and limit its power of tariff determination.
Speaking out against the proposed plan of uniform tariff, Nepra said it is linked to incentives inefficiency which will impact the privatization of DISCOs and promote inefficiency amongst them.
Uniform tariff stands in direct opposition to multi-year tariff determination which was originally passed under the Nepra Act 1997, and would cause a rise in consumer end tariff, it warned.
