ISLAMABAD: K-Electric (KE) has requested the National Electric Power Regulatory Authority (NEPRA) to approve a reduction of Rs 10.26 per unit in customer bills under Fuel Charges Adjustment (FCA) for the month of December 2022.
Following KE’s application to pass on the cut in prices to its customers, NEPRA said it will hold a public hearing on the matter on January 30, inviting interested and affected parties to raise written or oral objections.
If NEPRA allows the Rs 10.26/unit cut, the total relief for Karachiites in their bills will be over Rs 12 billion, said sources, who added that the relief will likely be reflected in the February bills.
According to KE, December’s FCA was lower primarily due to a reduction in prices of regasified liquefied natural gas (RLNG), furnace oil, and power purchased from the Central Power Purchasing Authority (CPPA-G) by 17%, 15%, and 29% respectively as compared to September 2022.
KE said this request has been made under the FCA mechanism governed by NEPRA. The FCA is reviewed every month and is usually applicable to consumers’ bills for one month only.
FCA is dependent on changes in global prices of fuel and are passed on to consumer bills.
For the past consecutive months, fuels such as RLNG and furnace oil have seen a consistent decrease in the global market which is enabling KE to pass on the benefits to its customer base, said Karachi’s power utility.
It added that it was also made possible due to the efficient and effective utilisation of KE’s generation.
