Islamabad: Due to fuel adjustments in March, electricity prices may drop by 68 paisa.
National Electric Power Regulatory Authority (NEPRA) has completed hearing for reduction in the price of electricity for the month of March under fuel price adjustment and is likely to cut power tariff by 63 to 68 paisa per unit.
According to NEPRA, the Central Power Purchasing Agency (CPPA) had requested a reduction of 61 paisa per unit in the price of electricity, however, after hearing all the stakeholders, the authority indicated a reduction from 63 68 paisa per unit and the authority will issue a detailed decision after examining all the data.
Last month, the Federal Cabinet approved a decree aimed at preparing a legal path for an increase of at least Rs 5.65 per electricity price from now to October to collect up to Rs 8,840 crore from consumers.
This is the second emergency summary issued by the Federal Cabinet to save the International Monetary Fund from collapsing again.
The Cabinet allowed the passage of a decree to further amend the Power Generation, Transmission and Distribution Regulations, commonly referred to as the NEPRA Law.
The ordinance will give powers to the government to impose a new surcharge equal to 10% of the electricity revenue requirements or Rs1.40 per unit. In addition, the ordinance will give effect to implementing the Circular Debt Management Plan, approved by the cabinet.
The legal amendments have curtailed the federal government’s powers to notify increase in power tariffs. The law has given the right to Nepra, if the government does not increase tariff from 15 days in case of quarterly adjustments and one month in case of annual-base tariff increase.