NEPRA urged to set fixed charges on peak demand
KARACHI: The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has requested the National Electric Power Regulatory Authority (NEPRA) to reinstate the previous mechanism of fixed charges based on actual maximum demand and units consumed, a press release revealed on Thursday.
“The current practice of fixed fees based on 50% of the sanctioned charge defies all logic and fair practice,” said FPCCI Chairman Irfan Iqbal Sheikh.
The old mechanism of fixed charges based on actual maximum demand and units consumed should be immediately reinstated for electricity billing, he demanded. “The business environment in Pakistan is stagnating due to the rising cost of doing business; and NEPRA is not listening to the legitimate concerns of the business community,” Sheikh said.
He added that a large number of industries were dysfunctional or operating at partial capacity due to floods and rains, and were forced to work in an environment of insufficient power supply compared to system demand. .
“Fixed charges based on 50% of sanctioned load instead of actual peak demand are totally out of sync with actual consumption and industries ground realities.”
He expressed dismay at NEPRA’s role, saying the authority had recently canceled a public hearing, adding further fuel to consumer frustration suffering at the hands of nightclubs and K.Electric (KE). The head of the FPCCI explained that thousands of SMEs are closed due to economic conditions and floods in the country. “There is no way for these companies to pay their unfairly generated bills on the basis of sanctioned charge, increased monthly fuel price adjustment, quarterly tariff adjustment and higher tariffs basic.”