Another massive hike in power tariff on cards

The power tariff is likely to increase further for a month as the Central Power Purchasing Agency (CPPA) has sought an increase of nearly Rs8 from the national regulator under monthly fuel cost adjustment (FCA).

CCPA, which acts as an intermediary between the power generation and distribution companies, has sought a Rs7.96 per unit increase in the electricity bills for next month under FCA owing to massive hike in fuel prices recently.

According to SAMAA TV’s reporter Wahab Kamran, the agency has approached National Electric Power Regulatory Authority (NEPRA) to increase the tariff by Rs7.96 per unit for the month of May, 2022.

The reason stated for the hike request is the production cost of the power producers which has reached the highest level in the country’s history.

According to the CPPA, the power production cost was Rs13.89 per unit in May while the fuel cost was Rs5.93 per unit.

However, the fuel prices have seen a record hike in the recent weeks which has increased the generation cost for the companies.

The national regulator will conduct a hearing on the petition on May 27.