Nepra fines power firm for false regulatory filings

In a rare move, the National Electric Power Regulatory Authority (Nepra) has imposed a Rs50 million fine on a public sector electricity generation company for misleading regulatory filing negatively affecting electricity rates and issued show-cause notices to two other SOEs in the power sector for violation of rules and regulations. In its order, the regulator imposed a Rs50m fine on Central Power Generation Company Ltd’s (CPGCL) Guddu Thermal Power Station for procuring a gas booster free of cost from Engro Corp and charging more than Rs1.24 billion in its tariff for the booster instead of disclosing the true picture. The regulator has also found Central Power Purchasing Agency (CPPA) and National Transmission and Despatch Company (NTDC) — the two other state-owned entities under the Power Division — in violation of rules and regulatory orders for signing operating procedure manuals and black start procedures with a dozen of power producers after the nationwide power breakdown in January 2021 and issued them show-cause notices before imposing up to Rs200m fine.