ISLAMABAD: Electricity consumers could face an additional burden of around Rs41 billion as the Central Power Purchasing Agency (CPPA) has sought an increase of Rs2.52 per unit in electricity rates for July.
The proposed increase has been requested under the July fuel price adjustment. The National Electric Power Regulatory Authority (NEPRA) will take up the application at a hearing scheduled for August 27.
According to NEPRA, if the requested increase is approved, electricity consumers could bear an additional financial burden of around Rs41 billion, including General Sales Tax.
CPPA has submitted details of electricity generation and fuel costs for July to support its request.
Expensive LNG, Furnace Oil Add to Power Costs
Imported LNG accounted for 10.78% of electricity generated in July, with generation costing Rs47.37 per unit.
The total cost of electricity produced from imported LNG during the month stood at Rs77.19 billion.
Furnace oil contributed 1.42% of electricity generation at a cost of Rs50.07 per unit, with the total expenditure reaching approximately Rs10.77 billion.
Electricity generated from diesel was even more expensive. Around 31 million units were produced from diesel at a cost of Rs54.47 per unit.
Hydropower Largest Source in July
Hydropower accounted for the biggest share of electricity generation during July at 39.81%.
Local coal contributed 10.91% of total generation, while imported coal accounted for 14.38%.
Nuclear power contributed 10.10% of electricity generation at a significantly lower cost of Rs3.02 per unit.
NEPRA will examine the generation costs and other figures submitted by CPPA during its August 27 hearing before deciding whether to approve the proposed increase.
If approved, the adjustment would increase electricity costs for consumers through the July fuel price adjustment.
Also Read: Pakistan Electricity Prices May Rise by Rs1.34 Per Unit for Three Months
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