ISLAMABAD: After six consecutive increases, the ex-Wapda Distribution companies (Discos) have sought about 33 paisas per unit reduction in consumer tariff on account of monthly fuel price adjustment mainly because of significantly lower power demand and resultant cut in furnace oil utilisation and better hydropower availability.

The National Electric Power Regulatory Authority (Nepra) will take up for public hearing on Dec 27 a petition for decrease in consumer tariff for ex-Wapda distribution companies (Discos) on account of fuel cost adjustment for electricity consumed in November.

The lower electricity rates, on approval by the regulator, would not benefit consumers using less than 300 units and agriculture consumers on the premise that they enjoyed subsidised rates.

The Central Power Purchasing Agency-Guarantee (CPPA-G) on behalf of the Discos has demanded a reduction of 33paisas per unit to pass on the benefit of better energy mix with consumers.

The CPPA said it had charged consumers a reference fuel tariff of Rs5.05 per unit in November compared to Rs5.23 per unit in October while the actual fuel cost turned out to be Rs4.72 per unit and hence 33paisas per unit should be adjusted to consumers’ next month bill.

Total energy generation from all sources in November was recorded at 7,545Gwh, about 21 per cent lower than 9,574Gwh in October and almost 46pc lower than August this year.

The total cost of energy generated in November amounted to Rs29.76 billion compared to a full bill of Rs52.13bn in October.

About 7,318Gwh were sold to the Discos at Rs34.5bn with a transmission loss of 2.84pc.

The share of hydel power generation in November improved to almost 34pc or about 2,564Gwh even though it was slightly better than 2,390Gwh of October when its share in overall electricity supply stood at 25pc.

The share of regasified liquefied natural gas (RLNG)-based power generation captured the second position with a contribution of 17pc in November compared to 22.92pc in October.

In contrast, Residual Fuel Oil (RFO)-based electricity generation dropped to a negligible 0.08pc in November compared to its 7.88pc share in October while locally produced gas-based generation stood almost unchanged at 20pc.

The share of coal-based generation on the other hand increased to about 14pc in November against 12pc in October. There was no fuel cost on hydroelectricity while coal-based fuel cost stood Rs6.58 per unit. The furnace oil-based plants generated electricity at the rate of Rs16.5 per unit in November compared to Rs14 per unit in October.

LNG based generation cost slightly increased to Rs10.1 per unit in November against Rs9.9 per unit a month earlier. Domestic gas-based generation cost stood at Rs5.2 per unit compared to Rs5.5 per unit the previous month.

Nuclear energy contributed about 11pc electricity to the national grid at fuel cost of 95 paisas per unit while power produced by sugar mills accounted for less than 1pc share at a fuel cost of Rs6.15 per unit. The electricity imported from Iran had a cost of Rs11.57 per unit and its total share in generation was 0.52pc.

Wind produced 1.8pc electricity at zero fuel cost while or 0.64pc contribution came from solar energy again at no cost.

Published in Dawn, December 19th, 2018