K-Electric is seeking another Rs3 per unit hike in quarterly adjustment

K-Electric is seeking another Rs3 per unit hike in quarterly adjustment, it emerges on Monday.

As reported, Kar­achi’s power utility has sought another Rs3.02 per unit in tariff adjustment for the April-June quarter of this year.

The National Electric Power Regulatory Autho­rity (Nepra) has accepted KE’s petition for a public hearing on Oct 19 (Thurs­day).

NEPRA will examine whether KE’s request was justified and whether the company’s claim for Rs13.2 billion write-off against unrecovered bills should be allowed.

As reported, KE’s demand for Rs3.02 per unit additional quarterly tariff adjustment is based on a revision in price settings at Rs2.57 per unit during April-June, followed by an annual inflationary impact of 87 paise per unit on operations and maintenance on top of already covered expenses in base tariff, and a couple of other previous positive and negative changes.

It is pertinent to note that Nepra and the federal government already allowed up to Rs4.46 per unit increase in electricity rates for K-Electric consumers for two months — October and November — to reduce the government’s subsidy payments to the power company.