Good news for agriculture consumers, power tariff cut by Rs3.60 per unit

• Agriculture consumers of all DISCOs, KE will be provided relief.
• Relief of Rs3.60 per kWh approved in current base rate of Rs16.80 per kWh.
• NEPRA okays additional supplementary grant of Rs28 billion.

The National Electric Power Regulatory Authority (NEPRA) Tuesday notified a power tariff cut of Rs3.60 per kWh in concurrence regarding Kissan Package 2022 announced by Prime Minister Shehbaz Sharif in October.

The power regulator said the Ministry of Energy had filed an application on December 13, requesting the authority to share its concurrence regarding Kissan Package 2022 for a reduction in the price of electricity for agricultural consumers.

Following the request, NEPRA reduced the power tariff by Rs3.60 per unit in their current base rate of Rs16.80. These rates are also applicable to private agriculture consumers of all DISCOs and K-Electric.

The power regulator notified the following:

• Private agriculture consumers of all distribution companies and K-Electric shall be provided relief of Rs3.60 per kWh in their current base rate of Rs16.80 per kWh
• Fuel charges adjustments, quarterly tariff adjustments and taxes, and duties shall be paid by the consumers as usual.
• Additional supplementary grant of Rs28 billion with effect from November 1, 2022, in the head of Tariff Differential Subsidy (TDS)
• Release the same grant to the Power Division for the implementation of PM's Kissan Package

“The authority has considered the request of the ministry and observed that the ministry has not requested any change in the NEPRA-determined tariff or revenue requirement of distribution companies.

“In view thereof, the authority has no objection to the instant proposal, as it does not have any impact on NEPRA determined tariff, hence, approved. No adjustment on this account will be allowed in the tariff determination of DISCOs,” the statement read.