Discos trim FCA to Rs1.58 for July on public outcry

Amid public criticism over efficiency and regulatory standards in the power sector resulting in unbearable electricity costs, the Central Power Purchasing Agency (CPPA) on Wednesday slightly lowered its demand for additional fuel cost adjustment (FCA) to Rs1.58 per unit — instead of Rs2.07 —for electricity consumed in July. At a public hearing organised by the National Electric Power Regulatory Authority (Nepra), the CPPA representatives reported that a petition for Rs2.07 per unit had been filed on behalf of ex-Wapda Distribution Companies (Discos) to mop up Rs30 billion in September but had now been revised based on verified data and previous decisions of the regulator. Under the revised request, Discos now required Rs1.58 per unit FCA to raise Rs23bn from consumers. About Rs3.6bn worth of claims would remain pending till the technical verification of old payables to four IPPs and one government plant while another Rs3.33bn claim had been withdrawn.