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ISLAMABAD: The National Electric Power Regulatory Authority member (tariff and finance) has questioned regulatory and accounting inconsistencies of the national grid’s recently-cleared revenue requirement of Rs332 billion, citing what she described as the ‘mirror image’ of receivables and non-transferred assets.
Nepra member Amina Ahmed pointed out the financial inconsistencies in a detailed dissenting note on a recent 2-1 majority ruling of the regulator, approving a three-year combined revenue requirement for National Grid Company (NGC) at Rs332bn for FY2022-23, FY2023-24 and FY2024-25 for incorporation into consumer-end tariffs through use-of-system charges (UoSC)
The NGC (formerly National Transmission & Despatch Company or NTDC) had sought a total of Rs478bn revenue requirement for three years under the multi-year tariff regime. This included Rs112bn for FY23, followed by 45pc rise to Rs163bn for FY24 and another 25pc rise to Rs203bn for FY25.
In a majority decision issued a few days ago, Nepra allowed a total of Rs332bn revenue for three years. This included Rs81.5bn for FY23, with a 17pc increase to Rs95.6bn for FY24 and then 62pc increase to Rs155bn for FY25. As a consequence, Nepra approved UoSC at Rs382 per kiloWatt a month for FY23, Rs455 per kW for FY24 and Rs710 per kW a month for FY25.
