Govt negotiates with LNG terminal operators to defer idle capacity charges

The government is negotiating with LNG terminal operators to defer or stagger capacity charges on idle facilities after Pakistan imported no LNG in April due to a force majeure event involving Qatar, Power Division officials told the National Electric Power Regulatory Authority (NEPRA) during a hearing on Tuesday.

According to a news report, any relief secured from the terminal operators would be passed on to consumers through lower electricity tariffs.

The issue was taken up during a NEPRA public hearing on a petition filed by the Central Power Purchasing Agency (CPPA), which sought an increase in electricity prices under the April fuel charges adjustment.

Officials told the regulator that electricity prices may rise by Rs1.73 per unit under the April monthly fuel charges adjustment because of higher fuel costs and volatile supply conditions during the month.

If approved, the adjustment will be charged in June electricity bills.