Nepra allows Re0.58 per unit hike in power tariff for KE
ISLAMABAD-The National Electric Power Regulatory Authority (NEPRA) has allowed an increase of Re0.58 per unit in power tariff for K-Electric consumers on account of monthly fuel charges adjustments for February 2023.
In its decision on the monthly FCA of KE, NEPRA has asked KE to reflect the hike of Re0.5794 per unit in the April billing month, and will have an impact of Rs 647 million on the company’s consumers. K Electric had submitted a request for an increase of Rs 1.66 per unit under fuel cost adjustment (FCA) for February having an impact of Rs 1.662 billion.
The Authority observed that K-Electric has requested Rs80.56 million amount for operation of KCCPP on HSD during current month. The cost of BQPS-III has been worked out using an auxiliary of 2.047% based on HHV combined cycle efficiency 6,381 BTU/kWh, at 100% load. This has resulted in a total cost of Rs5,326.463 million for operation of BQPS-III on RLNG in the current month, which is accordingly being allowed. The cost is being allowed strictly on provisional basis, subject to final determination of price etc. KE’s submissions regarding BQPS-II have been considered by the Authority on provisional basis, subject to adjustment, if required, once the required NEPRA technical decision in the matter are taken by NEPRA. The Authority observed that K-Electric is being directed to provide CV test reports for both Tapal and Gul Ahmed Power Plants. KE has submitted CV test report of Tapal and Gul Ahmed from HDIP SGS lab and used the average of the two reports in the FCA request. The Authority has considered the higher of the two CVs which has resulted in negative adjustment of Rs.670,031 and Rs. 163,747 for Tapal and Gui Ahmed power plants respectively.
Regarding cost of energy purchased from CPPA-G during the current month, K-Electric has used the rate of Rs.8.0689/kWh, however, the Authority’s approved fuel cost component in the matter of XWDISCOs for the current month is Rs.7.2114/kWh. In view thereof, while working out the instant FCA of K-Electric, rate approved by the Authority for XWDISCOS for the month under review has been incorporated for the energy purchased by K-Electric from CPPA-G during the month. This has resulted in decrease in total fuel cost by around Rs.581.1 million. KE in its claim for the FCA of February 2023 has claimed energy from FPCL of 19.97 1 GWh at Rs. 24.5939/kWh amounting to Rs. 491.165 million. It has been observed that KE has used a rate that was applicable from August 6, 2022, however, NEPRA vide decision dated March 13, 2023 has decided for the rate to be applicable from January 01, 2023 i.e. Rs. 19.4750/kWh. The revised rate has been used; this has resulted in a deduction of Rs. 102.23 million. KE submitted that the ingenious gas rates have been revised from January 2023 as per OGRA notification dated February 15, 2023. Accordingly, adjustment pertaining to January 2023 amounting to Rs.26 million has been claimed in FCA of February 2023 by KE. The same has been considered by the Authority in the instant FCA working. The positive FCA of February 2023 shall be applicable to all the consumer categories except Electric Vehicle Charging Stations (EVCS) and lifeline consumers.
Article source: https://www.nation.com.pk/15-Apr-2023/nepra-allows-re0-58-per-unit-hike-in-power-tariff-for-ke