Tag: electricity

  • No more load shedding in Pakistan from today: Ministry of Energy

    No more load shedding in Pakistan from today: Ministry of Energy

    After long hours of power outages across Pakistan in the month of Ramzan, the Ministry of Energy has announced that power load-shedding has been reduced to zero from 5am today (Monday).

    In a tweet, the ministry said, “As per the promise made by Prime Minister Shahbaz Sharif, load shedding in the country has been reduced to zero from 5am on May 1. The ministry has worked hard to add more than 2500 Megawatt of additional power to the national grid system.”

    “The ministry is constantly striving for uninterrupted power supply during the Eid holidays and beyond”, the tweet further said.

    In April, PM Shehbaz took notice of the situation and directed the concerned departments to reduce power outages by May 1. He said until the problem is resolved, he would not leave for China and would not allow anyone to relax.

    Last month, due to higher demand and reduced generation due to fuel shortages and reduced gas supplies to power plants, Pakistan experienced 6-10 hours of electricity load-shedding in various areas.

    As of April 25, generation was 17,976 Megawatt (MW), compared to the demand of almost 21,000 MW, indicating a significant discrepancy between demand and generation.

  • Pakistan’s energy crisis worsens, resulting in ten hours of load shedding

    Pakistan’s energy crisis worsens, resulting in ten hours of load shedding

    Due to higher demand and reduced generation caused by fuel shortages, and reduced gas supplies to power plants, Pakistan is experiencing 6-10 hours of electricity load-shedding in various areas.

    As of April 25, generation was 17,976 MW, compared to demand of almost 21,000 MW, indicating a significant discrepancy between demand and generation. IPPs contributed 14,536 MW, Gencos contributed 837 MW, and Wapda hydel contributed 2,603 MW.

    LNG-powered facilities are only receiving 500 MMCFD RLNG against a demand of 690 MMCFD, forcing the system operator, the National Power Control Centre (NPCC), to run furnace oil-fired facilities, which are much more expensive to run than natural gas and RLNG. Due to a lack of gas, Nandipur is working, however, Bhikki is not operating at full capacity.

    Prime Minister (PM) Shahbaz Sharif and former Minister of Energy Hammad Azhar exchanged accusing remarks on Twitter.

    “Mian Nawaz Sharif’s government halted the worst load-shedding in five years,” the Prime Minister declared in a tweet. The PTI administration failed to procure fuel on schedule or fix power plants. As a result, present load shedding is in effect. Power generation costs the population Rs100 billion per month due to inefficient plants. “We’re working on it”.

    Former Energy Minister Hammad Azhar responded to Prime Minister, claiming that “there are only 5 power plants under repair, the most of them are in the private sector”.

    Read more: US launches $23 million project to enhance Pakistan’s power sector

    Two PML-N LNG contracts defaulted in the recent two weeks, resulting in a fuel deficit and prompt system gas diversions. This is a textbook case of poor management that could have been averted.

  • US launches $23 million project to enhance Pakistan’s power sector

    US launches $23 million project to enhance Pakistan’s power sector

    The United States (US) said on Friday that it will launch a four-year, $23.5 million initiative in Pakistan to improve energy sector performance.

    As per United States Agency for International Development (USAID) Mission Director Julie A Koenen, the project intends to boost the volume of green energy in Pakistan’s energy mix.

    The US government is collaborating with the Pakistani government to undertake a four-year $23.5 million power sector reform initiative to address climate change and enhance the amount of renewable energy in Pakistan’s energy mix, through USAID.

    It would also strengthen the management and operations of electricity transmission and distribution networks, boosting the financial viability, dependability, and affordability of Pakistan’s power system by providing technical support to the government and private sector.

    Read more: Pakistani rupee plunges by Rs1.05 against the US dollar

    To increase Pakistan’s energy supply, the US and Pakistan have built three dams: Gomal Zam dam in South Waziristan, Satpara dam in Gilgit Baltistan, and Golen Gol dam in Chitral, Khyber Pakhtunkhwa, adding 143 megawatts of electricity to the national grid and rehabilitated the Mangla and Tarbela dams and three thermal power plants, connecting up to 860 megawatts of commercially-funded wind and solar projects to the national grid.

  • Lahore continues to face gas and power outage in Ramzan

    Lahore continues to face gas and power outage in Ramzan

    People in several localities of Lahore have complained of substantial pressure reduction as well as unannounced power cuts, bringing the natural gas and power shortages back in the holy month of Ramzan.

    On Friday, customers reported that natural gas load shedding had resumed in the city, making cooking at home difficult. Natural gas pressure only improved to a limited extent during Sehri and Iftari hours due to micromanagement by Sui Northern Gas Pipelines Ltd (SNGPL).

    As per the gas load management plan, gas supply to Compressed Natural Gas (CNG) filling stations has been a concern in the country, which has yet to be updated to accommodate this sector.

    Shortages, according to experts, are due to a gap in the import of Liquefied Natural Gas (LNG) shipments. After long-term sellers were unable to deliver, the government attempted to negotiate cargoes of spot LNG as a backup plan. Such attempts, however, have yet to show positive outcomes. The same goes for power load shedding.

    Read more: Another hike of Rs4.9 per unit approved in power tariff

    Gas disruptions and load shedding have become the norm, according to residents. Affected locations include Canal Bank Housing Scheme, Bedian Road, Taj Bagh, Mughalpura, Saddar, Johar Town, and many more Lahore neighbourhoods.

  • Another hike of Rs4.9 per unit approved in power tariff

    Another hike of Rs4.9 per unit approved in power tariff

    Owing to the monthly Fuel Cost Adjustment (FCA) for February, the National Electric Power Regulatory Authority (NEPRA) on April 15 increased the price of electricity by Rs4.85 per unit.

    It has also announced an increase in the price of power, stating that the power output in February was more expensive than the previously set fuel price.

    According to the notice, the power distribution companies (DISCOs) will collect the amount from electricity consumers in the April bill. In addition, consumers will be hit with a charge of Rs37.7 billion, excluding general sales tax (GST). However, K-Electric and lifeline customers will be exempt from the hike.

    On March 31, the NEPRA held a hearing to determine the FCA but did not make a decision. The Central Power Purchasing Agency (CPPA) requested that the cost per unit be increased to Rs4.94 by the NEPRA.

    Following the monthly FCA, which only operates for one month, the administration had already hiked the power price to Rs5.95 per unit for the month of January.

    As per NEPRA’s data, the most expensive energy production sources, including High-Speed Diesel (HSD) and Residual Fuel Oil (RFO), were used more than average in the prior months, raising the overall cost of production.

  • Nepra approves Rs1.29 hike in cost per unit for Karachi residents

    On account of monthly Fuel Cost Adjustments (FCA), the National Electric Power Regulatory Authority (NEPRA) raised the cost per unit of power for Karachi residents by Rs1.29.

    It held a public hearing at its headquarters on Karachi Electric’s (KE) request to hike the power tariff under the FCA by Rs3.45 per unit for February. Chairman Tauseef H. Farooqi chaired the public meeting, which was also attended by officials Rafiq Ahmed Sheikh and Engineer Maqsood Anwar Khan.

    According to the officials, KE’s monthly FCA is decided at Rs1.29 per unit based on data analysis.

    The Chairman inquired about Karachi’s load-shedding status and if KE has a gas procurement deal with the Sui Southern Gas Company (SSGC) to address the fuel crisis.

    Load management is only done on feeders with a low recovery rate, according to the latter’s officials, and consumers only have to experience one to one-and-a-half hours of load shedding every day.

    Chairman Farooqui stated that KE’s technology needs to be modernised, and that there should be no load-shedding for bill-paying customers and locations where billing is timely.

    He also mentioned that the NEPRA has posted phone numbers on its website for inhabitants of the city to report any forced load-shedding by any power utility.

    According to the briefing delivered at the meeting, KE’s customers were charged Rs3.28 per unit in January under the FCA. Similarly, the FCA for February was decided to be Rs1.99 lesser than the January billing.

    Muhamad Tanveer, who is a representative of the Karachi Chamber of Commerce (KCCI), denied the FCA, citing that customers are already paying for the January hike and that the FCA should not be transferred to them.

    After reviewing the facts, the NEPRA issued a thorough judgment declaring that the FCA is only levied and set for the month in concern and that it is variable with each hearing depending on the fuel costs for that month.

  • Oil companies warn govt of fuel shortage in Pakistan

    Oil companies warn govt of fuel shortage in Pakistan

    Oil marketing companies and refineries have reportedly expressed serious concerns and warned of a fuel crisis in the country after the government’s announcement of a relief package, according to Geo News.

    In a meeting between Oil and Gas Regulatory Authority (OGRA) and the petroleum division, several questions have been raised regarding petroleum prices. They argued that how can they sell petroleum products at cheaper prices when they are buying them at an expensive rate from the international market. They asked, “who will pay the price difference?”

    According to the secretary of petroleum, the government is preparing a price adjustment mechanism and the government will pay later. Till then, oil marketing companies and refineries should bear the price difference.

    In response to this, oil marketing companies and refineries said that the situation doesn’t seem to be sustainable as the country can face an interruption in the supply of petroleum products.

    Prime Minister (PM) Imran Khan, in an announcement on Monday, said that the government has slashed petrol, diesel prices by Rs10 per litre and electricity prices by Rs5 per unit as part of a series of measures to bring some relief to the public. He also promised that the government will not increase the prices of these commodities till the next budget, which will be announced in June.

  • Govt decides to increase power tariff by Rs2.8 per unit

    Govt decides to increase power tariff by Rs2.8 per unit

    The government has decided to further increase the electricity tariff by Rs2.8 per unit, under the Circular Debt Management Plan (CDMP). The decision has been taken to collect an additional Rs292 billion from consumers as per the conditions of the International Monetary Fund (IMF).

    The tariff will go up from February to July this year, in two phases.

    As per the sources of The Nation, the Cabinet Committee on Energy (CCOE), which met under the chairmanship of Federal Minister for Planning, Development, and Special Initiatives Asad Umar, was informed that the power sector circular debt has increased by Rs196b during the first six months (Jul-December) of the fiscal year 2021-22 as compared to the same period of the previous year and has increased to a record high of Rs2,476b.

    The first rise, of at least 63 paisa, is anticipated to be implemented from this month, bringing in Rs85 billion for the government till June of next year.

    However, because of the higher-than-expected currency devaluation, the Ministry of Energy has warned the cabinet committee that the rise might be as high as 75 paisa per unit. According to the decision, another hike of Rs2.17 per unit will be implemented in July, putting an additional cost of Rs207 billion on customers.

  • 50 per cent refund for army officers in electricity bills

    50 per cent refund for army officers in electricity bills

    General Headquarters (GHQ) has approached National Electric Power Regulatory Authority (NEPRA) for a 50 per cent rebate to commissioned officers on electricity bills, sources told Bussiness Recorder.

    Director Works and Chief Engineer (DG&CE) said, “Military Engineering Services (MES) is giving 50 per cent refund but on the basis of energy charges instead of variable unit charges. This has curtailed the electricity bills rebate to around 3.5 per cent instead of 50 per cent to Army officers.”

    Previously, a percentage of 50 per cent refund was set for the officers on electricity units consumed. Later, an amendment was made and the bills started to come in the name of the variable and other charges, i.e., variable charges, sale rates of electricity per Kwh, which covers the unit price.

    Last year, the Ministry of Defence (MoD) had drafted a summary for the Cabinet seeking a 50 per cent rebate to commissioned officers on electricity bills and sent it to the Finance Ministry for comments. The ministry of finance then asked MoD to approach NEPRA.

    Electricity prices have been increased about 60 per cent by the government. Another increase of Rs0.95 per unit for consumers is yet to be effective from February 1.

  • Electricity prices increase by Rs 4.30, petrol by Rs.6

    Electricity prices increase by Rs 4.30, petrol by Rs.6

    The National Electric Power Regulatory Authority (NEPRA) has approved the decision to increase power tariff by Rs4.30 per unit on account of fuel cost adjustment (FCA) for November 2021.

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    The adjustment will be shown separately in the consumers’ bills on the basis of units billed to the consumers in the month of November 2021 by the XWDISCOs.

    Similarly, the government is likely to increase the prices of petroleum prices by Rs6 per litre this month. However, the Ministry of Finance is yet to make the final announcement, reports Geo News.

    It is reported that the implementation will be effective from January 16 after consultations with Prime Minister (PM) Imran Khan. Recently, the government on the New Year’s eve had increased the prices of petroleum products to meet the petroleum levy target agreed with the International Monetary Fund (IMF).

    The news came after PM Khan’s statement when he asked his party’s spokespersons to inform the masses that there is no inflation in the country.