The National Electric Power Regulatory Authority (NEPRA) has received a tariff petition that K-Electric submitted for its power generation facilities. The tariff is effective as of July 1, 2023, and will last for as long as the facilities’ remaining licensed useful life.
The Regulatory Authority has granted the petition for KE’s six thermal-based power facilities that make up its generation section.
Through this petition, KE has put forth a tariff for power plants that is structured like an IPP and allows for both fixed and variable O&M costs. This will make the tariff structure more transparent and in line with CTBCM rules and industry standards.
KE’s generation tariff petition is currently the subject of a notice from the regulator asking for stakeholder views. The regulator will hold a hearing and then issue a decision.
Since privatization, KE has made approximately 400 billion rupees in investments across its value chain, of which 203.9 billion rupees were made in the generation sector. KE was able to significantly increase the dependability, availability, and capacity of its generation fleet with the aid of focused investments.
As a result, KE’s generation fleet efficiency rose from 30% in 2005 to almost 44%. Since FY 2016, KE’s generation fleet reliability has increased from 96% to 99.5%, while fleet availability has increased from 81% to 91%. Including the 900 MW BQPS-III, its generation capacity climbed from 1,875 MW to 2,817 MW.