ISLAMABAD:
The Power Division has raised serious concerns over the seven-year Multi-Year Tariff (MYT) recently issued by the National Electric Power Regulatory Authority (NEPRA) for K-Electric, warning that the decision could have significant financial and policy consequences.
Federal Minister for Power, Awais Leghari, expressed that the determinations could damage investor confidence in future MYT periods.
In a statement shared on ‘X’ on Wednesday, the minister noted that the Power Division had identified several critical issues in NEPRA’s decisions regarding K-Electric’s licenses for generation, transmission, distribution, and supply. He also pointed out that these decisions have implications for the upcoming MYT investment plan.
“These rulings have far-reaching impacts on consumer tariffs and on the federal government’s subsidies under a uniform tariff regime,” he said. Leghari added that the ministry plans to review the recent determinations for transmission, distribution, and supply, while the request to reconsider the earlier generation tariff decision, which was submitted in December 2024, is still pending NEPRA’s attention. “This delay carries serious financial implications for the power sector and its subsidies,” he emphasized.
He also warned that if certain concerns are not addressed, they could harm consumers and the regulatory environment, potentially obstructing Pakistan’s efforts to promote private sector participation in electricity distribution.
