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K-Electric to refund Rs7.43/unit in Jan 2023 under FCA

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  • NEPRA holds public hearing on petitions.
  • K-Electric to reimburse its consumers for the fifth month in a row.
  • KE refunded Rs2.456/unit to consumers in their December bills.

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) on Tuesday, after hearing petitions of K-Electric, directed the company to refund Rs7.43/unit to its clients in January 2023 bills on account of Fuel Charges Adjustment (FCA) for November 2022, reported The News on Wednesday.

The Karachi-based power facility had submitted its application to NEPRA, expressing its willingness to return Rs7.04/unit to consumers.

Chairman NEPRA Tauseef Farooqi chaired the NEPRA hearing. At the same time, the authority members from KP Engr Maqsood Anwar Khan, Balochistan Mathar Niaz Rana, and Sindh Rafique Ahmad Shaikh were also present.

NEPRA made the proposed calculation after calculating KE’s electricity sale-purchase data for November 2022.

In a few days, the regulator will issue its final judgment to incorporate these decisions in the consumer billings for January 2023. 

This adjustment/relief would be available to all user categories of KE except lifeline power consumers, domestic consumers consuming up to 300 units, agricultural consumers, and electric vehicle charging stations (EVCS).

It is the fifth month in a row since July 2022 that the regulator has instructed K-Electric to reimburse the consumers’ specified per-unit charges.

Interestingly, in its earlier decision for October’s FCA, NEPRA had directed the utility to refund Rs2.456 per unit to consumers in their December bills. It was being paid back and had a total impact of Rs4.11 billion on the company.

A spokesperson of the company said, “November’s FCA was lower primarily due to a reduction in the prices of RLNG, furnace oil, and power purchased from CPPA-G (Central Power Purchasing Agency-Guaranteed) by 18%, 15%, and 37%, respectively as compared to September 2022.”

Utilities incur the FCA due to global variations in the fuel prices used to generate electricity and change in the generation mix. Furthermore, consumers also benefit when fuel prices decline compared to the reference month.

Regarding the FCA for September 2022, NEPRA had directed K-Electric to refund Rs5.126/unit to clients in their November bills with an impact of around Rs9 billion on the company.

For August’s FCA, the KE was directed to refund Rs4.8862/unit to consumers in October bills having an impact of around Rs8.5 billion. Likewise, for July 2022’s FCA, the regulator asked the KE to pay back Rs4.117/unit in September 2022 bills.

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Islamic Sukuk Bonds: Government Is Expected To Begin Bond Auction Next Week

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There is now more positive economic news for the people of Pakistan. The government is anticipated to begin the Sukuk Islamic Bond auction next week, after the central bank’s announcement of a large drop in the policy rate.

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SIFC Encourages Green Tourism: Reforming Visas to Increase Investment

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Enhancing investment in the tourism sector, Green Tourism Pakistan’s initiative has received backing from the Special Investment Facilitation Council.

Visa-On-Arrival for 126 countries, Visa-Free Entry for Gulf Cooperation Council nations, and 24-hour expedited visa processing are some of the main features of the Green Tourism Visa Policy.

It is anticipated that these endeavors will draw in about 80 million dollars in foreign direct investment and 8.3 billion rupees in domestic investment.

Green Tourism Private Limited has introduced hunting resorts in Naltar, Hunza, and Skardu, along with four- and five-star city hotels, to improve the tourism experience.

In the first phase of the project, 17 of the 78 areas have seen the start of development activity.

Approved is a central authority for Green Tourism that will supervise the growth of Air Operations.

To promote Religious Tourism, extra precautions have been taken to guarantee the security of visitors from all religions, including Sikhs and Buddhists.

Furthermore, in order to improve the quality of the tourist experience, the green guide quality program has been introduced to supply top-notch tour guides.

There is now a deluxe bus excursion from Islamabad to Peshawar that promotes local culture.

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July 2024 export data from Pakistan shows a significant rise.

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The Strategic Investment Facilitation Council (SIFC) has been instrumental in improving Pakistani products’ access to international markets, as seen by the significant surge in exports from the country at the start of the 2024–25 fiscal year.

With a 7.26% rise over the same month the previous year, July 2024 exports to the US were $476.017 million. After increasing by 7.74% annually, the United Arab Emirates emerged as the second-largest export destination.

The third and fourth places were occupied by exports to the UK ($183.303 million) and China ($60.100 million). A substantial increase in exports to Afghanistan was recorded in July of this year, rising from $46.262 million to $88.065 million, largely due to successful anti-smuggling efforts.

With a combined export volume of $553.951 million, more important export destinations included Germany, the Netherlands, Italy, Spain, Saudi Arabia, and Turkey.

A bright future for the national economy is suggested by the growing confidence major international markets have in Pakistani exports. Through the efforts of SIFC and the government, this greater access to global markets has been made possible.

Pakistan’s economy is predicted to remain stable as a result of the export growth that SIFC has enabled.

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