The Senate Standing Committee on Power discussed imposing a permanent Fuel Price Adjustment (FPA) of Rs 2.71 per KWh on electricity consumers.
The Ministry of Energy proposed that the increase be adjusted at the end of each fiscal year based on the actual impact of FPA.
Secretary Power Syed Asif Hyder Shah informed the meeting, which was chaired by Senator Saifullah Abro, that the proposal had been shared with the Prime Minister for consideration. He confirmed that the decision is entirely up to the government.
He stated that if the decision is approved by the government, a mechanism must be devised to determine if the actual FPA is lower than projected. In such a case, the excess amount charged to customers would be deducted from future bills.
He stated that the government has set aside Rs. 334 billion in the current budget for tariff differential subsidies.
Senator Bahramand Tangi introduced the Regulation of Electric Power Generation, Transmission, and Distribution (Amendment Bill, 2021). The committee was informed by officials that the amendment is related to operational aspects of the utility business.
Senator Tangi stated that instead of disconnecting the power supply of consumers who pay their power bills, power thieves and non-payers of bills should have their power disconnected. “You cannot treat both (the payers and non-payers) alike,” he argued.
The panel was adamant that consumers who have been paying their bills on time should not be penalised, and that those who do not pay their bills should face the harshest penalties.
The Law Division representative explained that under the law, bill payers could not be treated the same as non-payers and supported the bill. The committee decided to revisit the issue at the next meeting.
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