ISLAMABAD, July 7: The National Electric Power Regulatory Authority (Nepra) is expected to announce increase in the tariff of eight distribution companies of Wapda on Tuesday.

The regulatory authority has completed its three-day hearing of the Wapda plea for 88 paisa per unit increase in power tariff.

A meeting to be presided over by Nepra Chairman Justice Saad Saud Jan would decide on Monday that how much tariff increase would be sufficient to keep Wapda out of financial troubles.

After the announcement, Nepra would send its tariff determination for notification to the federal government. If not satisfied with the final determination, the federal government has the right under the 1997 Nepra Act to request the power regulatory authority to revise its judgment within 15 days of announcement.

Following comprehensive deliberations on the input provided by the stakeholders, the Nepra chairman had asked all the Nepra members to submit their views on the proposed tariff increase.

Sources said all the Nepra members would submit their recommendations to the chairman in Monday’s meeting and a final decision would be taken same day.

This would be for the first time that a new regulatory levy charge at the rate of 0.125 per cent would be made a part of the Wapda tariff for collection from the consumers.

Hence, besides meeting the Wapda deficit of around Rs50 billion, Nepra is also estimated to earn an indirect revenue of Rs125 million during the year.

Against a demand of 88 paisa per unit increase in power tariff by Wapda, the government has given an understanding of 58 paisa per unit increase for Wapda, though the Nepra officials suggest privately that much increase would not be possible.

The Nepra has already provided an eight-paisa per unit tariff increase to Wapda as an interim relief and is expected to give another 35 paisa per unit raise in its final determination.