NEPRA hikes power price by Rs4.90 per unit

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) on Tuesday approved a Rs.4.90-a-unit price hike in electricity, translating into an annual burden worth Rs 106 billion on the K-Electric's (KE) consumers.

The decision was based on the KE's quarterly applications.

The power regulatory authority also approved to fix the average per-unit price of electricity at Rs17.69.

The NEPRA's decision would be applicable after the federal government's approval.

On December 28, the authority had told the KE to collect a consumer tariff — over the next nine months — on account of variation in the fuel charges from July 2016 to June 2019.

However, it has directed Karachi's sole power supplier to collect the tariff from consumers of all categories, except those consuming less than 50 units a month.

Separately, the NEPRA on December 10 slapped a Rs50-million fine on the KE over the loss of 19 lives to electrocution in the metropolis "due to lack of earthing of LT/HT poles and leakage of current from the distribution facilities of KE".

The regulatory body had said the electricity provider failed to fulfil "its statutory obligation to maintain safety standards".

KE stance

K-Electric on Wednesday refuted the claim that the price hike due to the tariff adjustment will be borne by the consumers.

In a statement, the power utility clarified that the government maintains a uniform tariff across the whole country.

It added that if there would be an increase in the tariff for the consumers then it would be to “maintain uniformity across the country and would be notified by the Ministry of Energy”.

K-Electric added that the tariff adjustments were mainly on account of increased furnace oil price, gas prices and swapping of local gas with RLNG by SSGC and are in line with the approved tariff adjustment process.