KARACHI: The National Electric Power Regulatory Authority (Nepra) has informed the Sindh High Court that the K-Electric is getting 1,100 megawatts from the national grid without signing a new agreement with the National Transmission and Despatch Company Limited (NTDC) after the expiry of the original contract.

Nepra stated this in its comments filed before a two-judge bench of the SHC headed by Justice Syed Hasan Azhar Rizvi during the hearing of a set of petitions filed by the Jamaat-i-Islami (JI) and others against prolonged loadshedding and overbilling especially in the name of fuel charges adjustment (FCA).

It submitted that the earlier agreement was signed between the power utility and NTDC on March 26, 2010 for five years for sale/purchase of 650 MW on basket rates. Subsequently, a decision was made by the Council of Common Interest (CCI) in its meeting held in November 2012 regarding modalities for withdrawal of electric power from the NTDC by the power utility and it was decided to reduce the supply of energy by 300MW from the NTDC to the KE, it added.

It further stated that the CCI decision was impugned by the power utility through multiple litigations before the SHC.

Asks court to dismiss petitions against KE, fuel charges adjustment

About the extended loadshedding, Nepra in its reply stated that its relevant section had already initiated and concluded proceedings against the KE for the excessive loadshedding.

It also submitted that the cost was allowed to the KE for its own generation as well as power purchases as per the mechanism prescribed in the Multi-Year Tariff (MYT) determination of the KE notified vide the SRO dated 22.05.2019, for which the power utility submited its monthly FCA and quarterly adjustment request along with relevant details/documents.

The authority determined the monthly FCA and quarterly adjustments after following the due process of law including public hearing, Nepra in its comments maintained.

It argued that the petitioners had no cause of action against the authority as they were not aggrieved persons within the meanings of Article 199 and the petitions were liable to be dismissed.

The authority further contended that if the petitioners were aggrieved at any decision of Nepra about determinations of the FCA, they had the right to impugn the same before the appellant tribunal in 30 days, but they did not choose to avail the remedy available under the law.

Thus, it said, the determination of Nepra had attained finality and could not be challenged through instant proceedings.

The bench adjourned the hearing till Oct 18 as the lawyers for the petitioners said that they intended to peruse the comments and counter-affidavits filed by Nepra and the KE.

Initially, JI Karachi chief Hafiz Naeemur Rehman along with two other party leaders petitioned the SHC, stating that the KE and other respondents had failed to discharge their obligations for uninterrupted power supply to the citizens of Karachi.

They contended that loadshedding had become out of control and Nepra had no mechanism to gauge the actual power production by the KE and demand for the provincial metropolis.

The petitioners maintained that the KE was exhorting huge amount of money from consumers in the name of the FCA with the permission of Nepra.

Later, some private firms also filed petitions challenging the FCA.

Published in Dawn, October 8th, 2022