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Power prices: Nepra calculates Dec FCA at Rs4.56 which was Rs4.12 in Nov

Power prices: Nepra calculates Dec FCA at Rs4.56 which was Rs4.12 in Nov


Move comes as Pakistan has been witnessing a surge in inflation

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ISLAMABAD (Web Desk/Dunya TV) – The National Electric Power Regulatory Authority (Nepra) on Saturday fixed fuel cost adjustment (FCA) charges for the month of December at Rs4.56 per unit after the Central Power Purchasing Agency (CPPA) requested an increase of Rs5.62.

This amount would be charged in monthly bills of February. However, the lifeline consumers and those falling within the K-Electric jurisdiction won’t be affected by this move.

Previously, Nepra had decided that the electricity consumers should pay Rs4.12 per unit as FCA for the month of November as the power distribution companies (Discos) collected the amount through bills sent in January.

It means there is a net increase of 50 paisa in per unit electricity price for consumers which would be reflected in the bills to be received later this month.

However, any increase in power tariffs, no matter how small it is, remains an additional burden for the people who have been crushed by record-high inflation and calling for slashing the energy prices – a move that will automatically reduce the costs and retail prices of all items.

The decision comes after the regulator earlier this week held in an open hearing of the request made by the CPPA, meaning that it did not agree with the calculations made by the entity responsible for buying electricity from the producers so that the

Discos could supply the same to the consumers within their respective areas.

Earlier, the Nepra had fixed the FCA at Rs3.07 per unit for October despite the CPPA proposing to fix the amount at Rs4.66 per unit FCA.

In October, the total amount collected under the FCA head from power consumers was around Rs28 billion, which reduced to Rs15bn in November. Meanwhile, the total in December stood at around Rs5.41bn, representing a consistent decline.