ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) has increased the power tariff by Rs3.33 per unit adding hardships to the consumers. The development comes ahead of the federal budget which is set to be unveiled on June 10.
According to NEPRA, the tariff was raised under the fuel charges adjustment (FCA) mechanism and shall be applicable to all consumers except K-electric and lifeline consumers. After the latest hike in electricity prices, consumers will receive higher electricity bills in the month of June.
The National Electric Power Regulatory Authority (NEPRA) has already hiked the per unit price of electricity by Rs3.76 per unit on account of quarterly fuel adjustment. The notification issued by the power regulator, the increase will be applied for three months of this year, June, July and August.
After the latest hike in electricity prices, consumers will receive higher electricity bills, with additional rates of Rs 1.90 per unit in June, Rs 0.93 per unit in July and August. The tariff hike will add an additional burden of Rs 46.61 billion on electricity consumers including the K-electric consumers.
Consumers are finding it difficult to meet their hefty bills and may require payment plans due to financial problems. Those experiencing financial problems and seeking instalment plans to manage their electricity bills must pay a 14 percent markup on delayed payments. Consumers will lose eligibility for future instalment options for one year if the payments are delayed.
A 10 percent late payment surcharge is also applied if bills are not settled by the specified deadline. The National Electric Power Regulatory Authority (NEPRA) introduced these changes in the Consumer Service Manual after requests from the Power Division and its distribution companies, including K-Electric.
NEPRA refused other harsh measures, such as high fees for new connections and strict penalties for multiple connections at a single property.
According to a notification issued by NEPRA, no markup or late payment surcharge is required if the first instalment is paid on time upon request.
It is pertinent to mention that due to higher electricity rates the consumers are shifting towards solar energy. According to experts Pakistan has ideal climatic conditions for solar energy generation, with over nine hours of sunlight in most parts of the country.
The World Bank says utilizing just 0.071 percent of the country’s area for solar photovoltaic (solar PV) power generation would cater Pakistan’s electricity demand.
According to the National Electric Power Regulatory Authority (NEPRA) only 5.4 percent of Pakistan’s installed power generation capacity of 39,772 megawatts comes from renewables like solar, wind and biomass, while fossil fuels still make up 63 percent of the fuel, followed by hydropower at 25 percent.
