November 2016: Power prolongation cost halves with arise in hydel generation
Coal-fired appetite plants with accumulative ability of thousands of megawatts are approaching to come online in a successive integrate of years that are approaching to pull coal-based era to 12% in a appetite brew from rebate than 1% during present. PHOTO: FILE
KARACHI: The cost of appetite prolongation forsaken by a large 50% in Nov 2016 with aloft outlay from hydroelectric, breeze and solar appetite plants that carried no fuel cost and a change to alien gas fuel from dear furnace oil, shows data.
The appetite zone regulator, a National Electric Power Regulatory Authority (Nepra), is scheduled to examination and correct appetite tariff downwards for placement companies in a conference in Islamabad on Tuesday, that will be upheld on to end-consumers.
The prolongation cost information with a regulator suggests that a tariff might be cut by Rs3.60 per section on comment of monthly fuel cost adjustment.
Consumers of state-owned appetite placement companies will advantage from a approaching tariff rebate solely for business of privatised K-Electric that has practical for reworking a tariff upwards by Rs0.60 per section for a same month of November.
Excluding era from hydel, breeze and solar appetite projects, a “average fuel cost fell by 29.9% on a year-on-year basement (in Nov 2016) and 21.7% on a month-on-month basement given low-cost sources carrying a bigger share in a pie,” Rao Aamir Ali, an researcher during Arif Habib Limited, pronounced in a note to clients.
Nuclear remained a cheapest source of electricity era during Rs1.18 per unit, followed by spark during Rs4.50 per unit, gas during Rs5.50 per unit, re-gasified liquefied healthy gas (LNG) during Rs6.90 per unit, furnace oil during Rs8.20 per section and alien electricity during Rs10.63 per unit.
All that translated into normal per section cost of prolongation during Rs3.70 in Nov and suggested a cut of Rs3.60 per section from a anxiety fuel cost of Rs7.30 per unit, according to Nepra.
“The supervision is aggressively posterior a devise to serve rise low-cost era sources,” Ali added.
Hamza Raza, an researcher during BMA Capital, foresaw an boost in a appetite prolongation cost in a months brazen as winter season, that customarily impacted H2O flows during dams, had begun.
“The share of hydel era is approaching to decrease going brazen as winter affects H2O levels. Its share is approaching to be taken adult by furnace oil, ensuing in a aloft fuel cost,” he pronounced in a note.
Coal-fired appetite plants with accumulative ability of thousands of megawatts are approaching to come online in a successive integrate of years that are approaching to pull coal-based era to 12% in a appetite brew from rebate than 1% during present.
“Financial tighten of projects carrying ability of 2,640 megawatts has already been achieved. There will be successive rebate in a costly furnace oil-based prolongation as era from spark picks adult (in a prolonged run),” he said.
Total appetite prolongation increasing by 3.2% to 6,935 gigawatts per hour in Nov 2016 from 6,722 gigawatts per hour in Nov 2015.
With softened H2O flows during dams, prolongation from hydel projects increasing to a large 41% in sum era in Nov from 34.3% in a same month final year, according to information expelled by Nepra and gathered by internal brokerage houses.
Production from other cheaper sources, including wind, solar and bagasse (dry pounded excess after descent of extract from sugarcane) rose to 11.9% in Nov from 5.6% in a same month a year ago.
On a contrary, appetite prolongation from furnace oil fell to 19.4% in a sum appetite brew from 27.6% in Nov 2015.
Production from gas, including alien re-gasified LNG, that stays a second many costly source of appetite prolongation after furnace oil, also went down to 27.8% from 32.5%.
Published in The Express Tribune, Dec 27th, 2016.
Like Business on Facebook, follow @TribuneBiz on Twitter to stay sensitive and join in a conversation.
Article source: http://tribune.com.pk/story/1275728/november-2016-power-production-cost-halves-rise-hydel-generation/