The National Electric Power Regulatory Authority (NEPRA) conducted a public hearing on the monthly Fuel Charges Adjustment (FCA) for November 2024 at its headquarters. The hearing, chaired by NEPRA Chairman, addressed a range of critical issues, including proposed tariff reductions, transmission inefficiencies, and challenges in coal supply.
The Central Power Purchasing Agency Guarantee Limited (CPPA-G) submitted a request for a reduction of Rs0.63 per unit under the FCA. NEPRA clarified that the proposed adjustment would apply to all consumers of distribution companies (DISCOs), excluding lifeline customers, agricultural users, prepaid customers, and electric vehicle charging stations. Additionally, the adjustment would not be applicable to K-Electric consumers.
During the proceedings, NEPRA expressed serious concerns about repeated delays in completing the Lahore North Transmission Line project. It ordered an inquiry into the matter after revealing that the High-Voltage Direct Current (HVDC) line was operating at only 20% capacity during November 2024.
The authority also scrutinized CPPA-G’s claim of Rs2.2 billion for partial load adjustments in November alone. It noted that CPPA-G had previously sought Rs47 billion in 2023 and Rs56 billion in 2024 under similar adjustments, citing changes in demand patterns as a justification. NEPRA directed policymakers to conduct a comprehensive study on demand patterns to improve the Time-of-Use (ToU) tariff structure.
NEPRA highlighted the persistent delays in expanding local coal mining operations, which hinder the availability of affordable electricity for consumers. It urged the government to address logistical issues with Pakistan Railways to ensure the efficient transportation of coal to power plants.
The hearing concluded with NEPRA announcing that a detailed decision on the FCA adjustment would be issued following further data verification and analysis.
This hearing not only reviewed the FCA proposal but also underscored the broader systemic challenges affecting Pakistan’s energy sector, setting the stage for policy interventions aimed at improving efficiency and affordability.
