ISLAMABAD, Aug 2: The National Electric Power Regulatory Authority (Nepra) has reduced power tariff from 39 paisa to 19 paisa per kwh for domestic consumers.

The Ministry of Water and Power had filed a review petition with Nepra against its decision of July 17, allowing Wapda 40 paisa per kwh increase.

The major burden of the previous tariff had to be borne by the domestic consumers whose tariff was proposed to be increased by 39 paisa per kwh.

However, President Pervez Musharraf took note of the hardships of the common man and directed that the matter be reconsidered to provide relief to the consumers.

Later, the Ministry of Water and Power formally filed a petition with Nepra seeking reduction in tariff on which the decision was announced on Friday.

“Nepra, has, after careful review, determined revised tariff which would reduce the burden on the domestic consumers by cutting the original tariff increase by 51 per cent i.e. 39 paisa to 19 paisa only per kwh,” says the announcement.

The monetary gap created by this reduction will be met by improvement in Wapda efficiency and reduction in losses as well as assistance from the federal government.

The government is conscious of the increase in international oil prices and is working on plans to enhance use of natural gas and hydel generation to reduce the cost of electricity generation.

Talking to Dawn Finance Minister Shaukat Aziz said Wapda’s performance would be reviewed on quarterly basis with a view to reducing its line losses and bringing efficiency in the organization.

He said the issue would be discussed during the meetings of the Economic Coordination Committee of the Cabinet (ECC) to ensure better performance by Wapda.

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