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The National Transmission and Despatch Company Limited (NTDCL) has sought increase in tariffs by 15 percent for 2017-18 and 26 percent for 2018-19.

The NTDC's determined tariff, later revised in the middle of last year, was Rs 148/kW per month and 26 percent for 2018-19. However, the company, in its latest petition has submitted the following in the tariff petition for the FY 2017-18 and FY 2018-19. The company has sought transmission tariff of Rs 170.79/kW per month for 2017-17 and 186.48 kW per month for 2018-19. The NTDC has also included the cost of new transmission line and other auxiliary work in the petition.

Nepra is scheduled to hear tariff petition of NTDCL on November 28, 2018. Any interested person who desires to participate in the proceedings can file intervention request to the regulator. The company has uncovered cost for FY 2016-16 and FY 2016-17 including reversal of the impact of K-Electric loan adjustment on Return on Equity (RoE) and the uncovered cost for FY 2014-15.

The NTDCL has sought claims for the recovery of all legitimate costs incurred prudently during FY 2015-16 and FY 2016-17 in accordance with Nepra standards and guidelines 17(3)(i) for operation of the company. The NTDCL has requested Nepra to approve the investment program of Rs 46.428 billion for FY 2017-18 and Rs 49.815 billion for 2018-19. It has also requested that the projected data for FY 2017-18 and 2018-19 may be allied across the board for different components of capital base.

The effective date for implementation of tariff will be mentioned in July 1, 2018 in the determination for Use of System Charges (UoSC). The NTDCL which has spent billions of dollars on improvement of transmission system has asked Nepra that annual average Technical and Transmission (T&T) losses level may be kept at three per cent at least.

Copyright Business Recorder, 2018


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