Discos allowed to charge Rs25bn more for May

The National Electric Power Regulatory Authority (Nepra) on Thursday notified about Rs1.90 per unit additional fuel cost adjustment (FCA) in power tariff for ex-Wapda distribution companies (Discos) for May to mop up about Rs25 billion in additional funds in the current billing month. The “increase of Rs1.9039/kWh shall apply to all the consumer categories except electric vehicle charging stations (EVCS) and lifeline consumers,” Nepra said in a notification. The ex-Wapda Discos had proposed an additional FCA of Rs2.05 per unit to generate about Rs27bn in July’s bills. The regulator, however, calculated a positive FCA of Rs1.90 per unit with an additional revenue impact of about Rs25bn. It withheld the financial impact on account of deviation from economic merit order amounting to Rs1.67bn, on a provisional basis from the FCA claim till the time system operator — NTDC — provides complete justification for the violation.