NEPRA conducted a public hearing on Monday on the Federal Government’s request to apply quarterly adjustments on KE customers. These Quarterly Adjustments of PKR 1.5547 and PKR 1.48-4.45 pertains to the 2nd quarter of FY22 and the first quarter of FY23 respectively. Application of these adjustments on KE consumers along with their period of recoverability will be determined by NEPRA followed by a notification from the Government.
NEPRA scrutinized this request and will issue a final decision on the amount to be passed on to customers as per its protocol. NEPRA and the Government of Pakistan legislates the governing policies and regulations which determine the costs recovered from customers in their monthly bills. Individual Distribution Companies cannot influence the process or make unilateral changes.
In the first request, the Federal Government is seeking NEPRA’s approval to apply PKR 1.55 rupees per unit on all customer categories (except Lifeline consumers) for units consumed in July, August, and September 2022. The amounts will be recovered in bills for the months of April, May, and June 2023 respectively. In the second request, the Government is seeking approval to apply charges on units consumed in February and March 2023 to be recovered in April and May 2023 in the following manner: PKR 1.48 per unit for residential customers using up to 300 units except lifeline consumers; PKR 3.21 per unit for residential customers using more than 300 units, and PKR 4.45 per unit for all other categories excluding certain Agricultural consumers.
About K-Electric
K-Electric (KE) is a public listed company incorporated in Pakistan in 1913 as KESC. Privatized in 2005 KE is the only vertically integrated utility in Pakistan supplying electricity within a 6500 km square territory including Karachi and its adjoining areas. The majority shares (66.4%) of the company are listed in the PSX owned by KES Power, a consortium of investors including Aljomaih Power Limited of Saudi Arabia, National Industries Group (Holding), Kuwait, and the Infrastructure and Growth Capital Fund (IGCF). The Government of Pakistan is also a minority shareholder (24.36%) in the company.
