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NEPRA cuts tariff by 26 paisa per unit

Dunya News

The decision to reduce price of electricity will not apply to lifeline and agricultural consumers

ISLAMABAD (Dunya News) – The National Electric Power Regulatory Authority (Nepra) has approved a reduction of 26 paisa per unit in power tariff on account of fuel cost adjustment for July 2021.

According to a notification issued by the NEPRA on Monday, the electricity has been reduced by 26 paisa per unit on account of May’s monthly fuel adjustment and consumers will get relief in July electricity bills.

According to the decision issued by the NEPRA, the decision to reduce the price of electricity will not apply to lifeline and agricultural consumers, nor will the decision apply to K-Electric consumers.

The Central Power Purchase Agency (CPPA) had sought reduction of 12 paisa in the tariff, having Rs 1.5 billion benefit to the consumers for the said period.

However, the authority approved 26 paisa reduction in the tariff, having benefit of Rs.3.3 billion for consumers. The regulator held public hearing into the CPPA petition on June 29.

The FCA of April 2021 would be charged in the billing month of July 2021 to all consumer categories of XWDISCOs, except life line consumers i.e. having consumption up-to 50 units, domestic consumers consuming up-to 300 units and Agriculture Consumers of all the XWDISCOs.

It is hereby clarified that negative adjustment on account of monthly FCA is also applicable to the domestic consumers having Time of Use (ToU) meters irrespective of their consumption level.

Further industrial consumers availing Industrial Support Package (ISP) would not get the benefit of negative FCA on incremental sales only. They would however, get the benefit of negative FCA on base tariff billed units, the notification further said.

This FCA would remain applicable only for one month and would not be applicable to KE consumers.