National Electric Power Regulatory Authority (NEPRA), on Wednesday, rejected a request of the Distribution Companies (XWDiscos) for the transfer of Rs. 28 billion to power consumers on account of quarterly adjustments and asked the petitioner to re-submit the data.
In a public hearing on the petitions by Discos on Quarterly Power Purchase Price Adjustment for the first quarter (July to September) of 2021-22, NEPRA expressed dissatisfaction over the data submitted by Discos. Chairman NEPRA, Tauseef. H. Farooqi, who was presiding over the hearing, said that the calculation is not clear.
NEPRA raised questions on the charging of the capacity charges on the units consumed under the Industrial Support Package. Vice-Chairman NEPRA, Rafiq Shaikh, questioned that the determined tariff of the Industrial support package was Rs. 12.96/unit, then why Discos have demanded capacity charges?
NEPRA was conducting a hearing on quarterly adjustments demanded by XWDiscos on account of capacity charges, transmission charges, MOF, variable operation and maintenance charges, and impact of T&D losses on Fuel Charges Adjustments for the first quarter of FY 2021-22. XWDiscos have requested NEPRA to allow the transfer of the burden of Rs. 28 billion to the power consumers on the account of the quarterly adjustments.
Pursuant to the notified tariff, the XWDISCOs have filed their requests for adjustments on account of capacity charges, transmission charges and market operator fee, the impact of T&D losses on FCA, and variable operation and maintenance charges for the first quarter of FY 2021-22, i.e., July to September 2021, in line with the notified mechanism in this regard.
NEPRA has rejected the data submitted by the distribution companies. Chairman NEPRA has asked the XWDiscos to submit fresh data in one week. The regulator will then hold a fresh hearing on the data.
