ISLAMABAD: President, National Electricity Regulatory Authority (NEPRA) Tauseef. H. Farooqi has asked the Secretary of the Food Division to take appropriate action against Disco for the delayed and incomplete tariff requests, NEPRA sources told Business Recorder.

Farooqi, in a letter to the Secretary of the Food Division, drew his attention to the flippant attitude of nightclubs towards fulfilling one of their crucial obligations to submit petitions for determination. of the final tariff for the consumer with regard to their distribution and supply activities.

According to the regulator, mainly, the final consumer price of nightclubs should be determined before the start of its control period, which requires the submission of petitions from them well in time. The deadlines and modalities for submitting tariff petitions are prescribed in the NEPRA Guidelines for the determination of the final consumer tariff (Methodology and process) 2015.

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Under the Tariff Guidelines, DISOs are required to submit the Integrated Generation, Transmission and Distribution Expansion and Investment Program (IGTDP), as well as an assessment of transmission and distribution losses ( T&D) by September 1 of each year for approval by the Authority prior to submission. of tariff petition.

NEPRA says the tariff petition must be submitted by January 31 of each year, along with the approved Integrated Generation, Transmission and Distribution Plan (IGTDP).

However, during the period, the nightclubs showed a lack of capacity and willingness to fulfill their responsibility and did not adhere to the deadlines and procedure stipulated in the pricing guidelines for the submission of their tariff petitions as well as the full information required thereunder which has not only led to bypassing IGTDP approval but also to delaying tariff determination in the past.

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Currently, three nightclubs, IESCO, FESCO and LESCO, operate under multi-year pricing determinations for a five-year monitoring period, while seven nightclubs (MEPCO, GEPCO, PESCO, HESCO, SEPCO, TESCO and QESCO) have been awarded a rate of consumption. until the 2019-2020 financial year under a single tariff system. As part of the price determinations for the 2019-2020 financial year, the Authority clearly asked the discotheques to submit their price requests to avoid any delay in determining the prices. However, despite clear instructions from the Authority to submit rate petitions for the 2020-21 fiscal year and beyond, nightclubs failed to submit rate petitions in a timely manner.

President NEPRA argued that besides the late submission, the poor quality of petitions is of more concern, as the petitions received lacked essential information required by the tariff guidelines for processing, due to which the tariff petitions submitted by some nightclubs have been returned while tariff petitions from some nightclubs with minor deficiencies were admitted with management to obtain the missing information when processing petitions, adding that an incomplete submission is a major obstacle to the speedy finalization of the decision by the Authority.

“The facts are brought to your attention with the recommendation to take appropriate action against the person (s) responsible for the late and incomplete submission of tariff petitions and to instruct nightclubs for the timely submission of the petition to the future by following the procedures prescribed in the applicable rules / Regulations, directives, etc. »Declared the president of NEPRA.

Copyright Business Recorder, 2021


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