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Nepra disallows inclusion of stranded cost, cross subsidy in wheeling tariff

Nepra disallows inclusion of stranded cost, cross subsidy in wheeling tariff National January 12, 2021 ISLAMABAD: In a major development, Nepra has refused to include the stranded cost and cross subsidy demanded by DISCOs and CPPA in the wheeling charges, paving way for the country’s industrial sector to thrive with lower cost of electricity. With the decision, wheeling charges for bulk power consumers will stay at Rs1.50-2 per unit. The decision will strengthen the wheeling regime, which is a pre-requisite for the development of energy market in Pakistan. Nepra gave its decision in the matter of Wheeling Costs to be included in the tariff determination of DISCOs under the Annual & Multi-Year Tariff Regime (FY 2018-19 & FY 2019-20). The bulk power consumers (PBC) are being provided electricity at Rs14-15 per unit from CPPA (Central Power Purchase Agency) but after Nepra s refusal to include the stranded cost and subsidy in the wheeling charges, any power house can sell its e

Experts webinar views: Energy sector should be depoliticised

National January 1, 2021 LAHORE: The energy sector should be depoliticized and people having conflict of interests should not be appointed in any of the key posts in the sector. This will help end incompetency, nepotism and favoritism in the energy sector and lead to proper development of the sector. These views were expressed by the energy sector experts responding to the questions speaking at a webinar at Lahore Chamber of Commerce and Industry (LCCI) here on Thursday. The energy experts including Senior Research Economist Pakistan Institute of Development Economics (PIDE) Afia Malik, Energy Specialist of Sustainable Development Policy Institute (SDPI) Dr Hina Aslam and Energy Research Center COMSATS Dr Iftikhar Ahmed suggested that the energy policy should be made focusing on available indigenous resources instead of import-base fuels such as RLNG and imported coals which resulted in increase in import bill and high cost of the energy. Additionally, import-base energy generat

Hubco to provide 600MW power, 300MGD potable water by 2024

Hubco to provide 600MW power, 300MGD potable water by 2024 National December 10, 2020 ISLAMABAD: The Hub Power Plant Management has accepted the proposal of the Power Division under which the government will buy it out for Rs65 billion but will not pay Rs260 billion as capacity payment due till 2027 under the remaining period of Power Purchase Agreement. In return, Hubco will provide 600MW of cheaper electricity to K-Electric by 2024 based on Thar coal and will also provide 300 MGD water daily to Karachi, Special Assistant to PM on Power Tabish Gauhar confirmed to The News. The SAPM told The News that under the latest scenario, the Hubco management has in principle agreed to the proposal that he pitched when its management offered the federal government to buy it out at Rs65 billion arguing that the power plant of 1,200 MW operates only on one percent of its capacity in the whole year.

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