KAPCO receives NEPRA approval for Tri-Partite Power Purchase Agreement

Kot Addu Power Company (KAPCO) has announced that the National Electric Power Regulatory Authority (NEPRA) has granted approval for its Tri-Partite Power Purchase Agreement (TPPA) with the Central Power Purchasing Agency (Guarantee) Limited (CPPA-G) and National Grid Company of Pakistan Limited. 

This approval, received on May 19, 2025, follows a previous notification sent to the Stock Exchange on April 10, 2025.

The approval comes with a set of directions from NEPRA, which include conducting an Initial Capacity Test (ICT) and a Heat Rate Test (HRT) to benchmark the power plant’s performance. These tests will be independently evaluated to determine the Simple Cycle Efficiency and Heat Rate numbers, which will be submitted to NEPRA along with the respective reports. 

Once these steps are completed, the TPPA will become effective, allowing the power plant to begin operations under the new agreement.

KAPCO has assured its commitment to adhering to the necessary rules and regulations to ensure smooth execution of the agreement, with a focus on full compliance with the directives outlined by NEPRA.