Regulator orders KE to refund Rs3.6bn in next bill

The National Electric Power Regulatory Authority (Nepra) on Wednesday cleared a Rs2.15 per unit cut in monthly fuel cost adjustment (FCA) and Rs7.83 per unit in quarterly tariff adjustment (QTA) for K-Electric consumers. While Nepra would notify next week the adjustment to refund Rs3.59 billion to KE consumers in December bills, it would separately forward its QTA determination to the federal government for a final decision including adjustments in tariff differential subsidy. The decisions were reached at a public hearing presided over by Nepra Chairman Tauseef H. Farooqui. The FCA adjustment pertains to electricity consumed in October while QTA is related to the first quarter (July-September) of FY23. The KE had filed two separate petitions. It sought a reduction in FCA by about Rs1.9 per unit to refund through tariff adjustment about Rs3.16bn to consumers on account of cheaper electricity produced in October. After examination of data, the regulator worked out a negative adjustment of Rs2.15 per unit with a revenue impact of Rs3.59bn.