Power distribution companies (DISCOs) have asked National Electric Power Regulatory Authority (NEPRA) to allow the collection of more than Rs 17 billion from the power consumers through their electricity consumer bills under the 2nd quarterly adjustment of FY 2022-23.
As per details, all DISCOs except K-Electric have filed their requests for adjustment on account of capacity charges, transmission charges and market operator fees, impact, impact of incremental units, impact of Transmission & Distribution (T&D) losses on fuel charges adjustment (FCA) and variable operation and maintenance charges for the 2nd quarter of FY 2022-23 i-e October to December 2022, in line with the notified mechanism in this regard. And, to arrive at a just and informed decision, NEPRA has decided to conduct a hearing on February 22, 2023.
According to NEPRA, the Islamabad Electric Supply Company (IESCO) has sought a collection of Rs 1,322 million, the Lahore Electric Supply Company (LESCO) Rs 6,347 million, Gujranwala Electric Power Company (GEPCO) Rs 6,566 million, Faisalabad Electric Supply Company (FESCO) Rs 4,479 million, Multan Electric Power Company (MEPCO) Rs 2,407 million, and Tribal Area Electric Supply Company (TESC) Rs1,306 million from their respective consumers, under the head capacity charges, variable O&M, impact of T&D losses on monthly FCA, impact of incremental units and so on.
However, three DISCOs including Peshawar Electric Supply Company (PESCO), Quetta Electric Supply Company (QESCO) and Sukkur Electric Power Company (SEPCO) asked for negative adjustments of Rs 6,967 million as PESCO sought negative adjustment of Rs 1,929 million, QESCO Rs 1,633 million and SEPCO sought negative adjustment of Rs 3,405 million.
NEPRA, in a public hearing notice, has invited all the interested/affected parties to submit written and/or oral comments or objections as permissible under the law at the hearing.
It is pertinent to mention that this development is largely being taken as an attempt by the government to unlock the next tranche of loan from the International Monetary Fund (IMF) thereby burdening the public further. It is to prevent the collapse of the country’s cash strapped economy.
However, instead of reviving a USD 7 billion loan programme for Pakistan, the IMF has so far handed over a memorandum on the terms and conditions for the completion of the loan programme. And, the incumbent government in order to secure a bailout package from the IMF has announced the imposition of taxes amounting to Rs 170 billion as part of a deal with the IMF for the revival of a USD 7 billion loan programme.