ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has determined consumers-end tariffs of Multan Electric Power Company (Mepco) for 2016-17 and 2017-18 and Quetta Electric Supply Company Limited (Qesco) for 2016-17.

According to Nepra based on the projected sales of 17,920 GWh for the FY 2017-18, the Mepco’s average sale rate has been worked out as Rs.13.89/kWh, consisting of Rs.11.18/kWh of adjusted Power Purchase Price (PPP), Rs. 1.15/kWh of Distribution Margin (DM), Rs.0.48/kWh of previous tariff and 2nd Qtr. Adjustment of FY 2017-18 and Rs. 1.10/kWh of prior year adjustment.

On the issue of T&D losses, the petitioner submitted that requested target of 16.91 percent for FY 2016-17 is based on actual results for the relevant year, whereas target for the FY 2017-18, ie,16.61 percent reflects a decrease of 1.8 percent as compared to the actual losses of the previous year.

Mepco has been allowed T&D losses target of 15.00 percent for both the FY 2016-17 & FY 2017-18. The company has also been allowed a total investment of Rs.11.416 billion and Rs. 13.000 billion for the FY 2016-17 & FY 2017-18 respectively.

Anwar Kamal, one the interveners’, argued that technical losses are at a maximum of 6 to 7 percent in the world, whereas, NEPRA has allowed them at staggeringly high levels, which are obviously fake and for the ulterior purpose of supporting corruption and inefficiency.

Qesco - the petitioner, had requested for adjustment of realistic Transmission and Distribution losses in the end user tariffs for the FY 2016-17 as the allowed target of T&D losses for the FY 2015-16 could not be achieved, due to low voltage profile, availability of only one double circuit 220 kV transmission line, scattered lengthy network and the fact that majority of the consumers are at tail end, ie, far away from generating units. The Petitioner further stated that administrative losses are due to law and order situation and non-cooperation of local administration.

Based on the projected sales of 4,362 GWh for the FY 2016-17, Qesco’s average sale rate has been worked out as Rs.13.18/kWh, consisting of Rs.10.84/kWh of adjusted PPP, Rs.1.96/kWh of DM and Rs.0.37/kWh of Prior Year Adjustment.

When contacted an official of Power Division told this scribe that since there is no change in level of loss and recovery, apparently, there will be no change. However, concerned officials of tariff section are comparing fresh tariff determinations with the previous determination.—MUSHTAQ GHUMMAN