The National Electric Power Regulatory Authority (Nepra) has suggested that a price cap of Rs45 per unit should be placed on the tariff for electric vehicle charging stations.
Stakeholders of the power station business, at a public hearing conducted by the Nepra headquarters, proposed that market forces could determine the rates of tariffs. They also requested a subsidy on electricity prices to attract investors to engage in the business.
Representatives of the Ministry of Industries, oil marketing companies, electric vehicle charging stations, distribution companies and prospective investors were also present at the hearing.
Nepra presented three pricing options. The first option was that the private sector would determine its own prices. The second option was that a ceiling would be imposed. The third option was that Nepra would determine customer charges and tariffs.
Nepra calculated to set the price ceiling at Rs45 per unit as electric vehicles would break even at Rs47.7 per kWh.
However, the investors argued that this suggestion was unfeasible as the per unit cost of commercial electricity was Rs30 per unit after including taxes.
Nepra Chairman Tauseef H Farooqi also responded that a subsidy could not be granted as the circular debt has reached Rs2.4 trillion because of the subsidies.
Farooqi said that he would hold a follow-up session soon and a separate meeting would be held for the standards of electric vehicle charging stations and the relationship of charging stations with the distribution companies.
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