An increase of Rs1.77 per unit in electricity tariff for distribution companies of Wapda under the monthly fuel adjustment formula.—File Photo

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) approved on Thurdsay an increase of Rs1.77 per unit in electricity tariff for distribution companies of Wapda under the monthly fuel adjustment formula.

The increase is based on power generation in September and will apply to all except lifeline consumers using up to 50 units per month and those of the Karachi Electric Supply Company (KESC).

A Nepra spokesman told Dawn the increase was necessitated by three major factors which adversely affected the energy mix. About 30 paisa per unit increase was caused by the use of high-speed diesel as alternate fuel by three independent power producers – Saif, Saphire and Orient – instead of natural gas because of expiry of their gas supply agreements amid gas shortfalls.

Also, a number of power units were forced to use higher quantities of furnace oil to maximise power generation as gas- and water-based power projects remained unavailable while the reference price of furnace oil also increased to Rs64,000 per ton from Rs44,000 per ton.

But, the spokesman said that since the fuel adjustment surcharge was imposed every month the power bills in November would be comparatively lower by about Rs1.27 per unit than those issued in September.

He said that Nepra had allowed a tariff increase of about Rs3.04 per unit which would come to an end after the latest fuel adjustment.

“So, prices will be higher by Rs1.77 per unit when compared with August, but lower by Rs1.27 per unit when compared with September,” he said.

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