Nepra Orders Investigation Into Overbilling by Distribution Companies
The National Electric Power Regulatory Authority (Nepra) has called for corrections in power generation contracts to provide relief amid public outcry over a tariff increase of up to Rs7.12 per unit. During a public hearing, Nepra ordered an investigation into last month’s overbilling by distribution companies due to changes in meter reading.
Representatives claimed the average tariff for the current fiscal year would be lower due to fewer adjustments. The government provided a Rs50bn subsidy for three months for relief to residential consumers. However, the decision is pending official notification.
Consumers criticize Nepra for rubber-stamping tariff hikes without addressing power sector inefficiencies. Nepra member Mathar Niaz Rana highlighted the need to examine generation efficiency. Nepra Chairman Waseem Mukhar expressed concerns over distribution companies’ inefficiencies and urged drastic steps for improvement to restore public confidence.
An investigation team is analyzing recent overbilling complaints, with potential fines for power companies. Nepra refuted claims of being a rubber stamp and announced a tariff revision decision soon.
Published in Dawn, July 11th, 2024