On September 4, 2019, the regulator had approved an increase of 78 Paisa per unit increase in electricity tariff in July 2019 across the board to recover about Rs 25 billion from consumers. However, Nepra did not notify the increase in tariff, after a war of words with NAB which was furious after Nepra, in its State of Industry Report 2018-19 stated "almost all the projects on which Nepra had made determinations in the past have been questioned by NAB, and the way the investigations are being conducted, it has completely stifled the morale of Nepra professionals. The matter in essence has come to the jurisdiction of Nepra and the boundaries beyond which NAB may not intervene. A holistic approach is the need of the hour so that confidence of the sector in general and that of Nepra in particular is not unduly hurt."
Insiders claim that since the publication of State of Industry Report, the regulator has purportedly received threats that the anti-graft agency may intervene in the determination of monthly fuel price adjustment which has jolted the top brass of Nepra.
Others claim that the delay in notification is due to the issue of use of furnace oil and economic dispatch order. Nepra is scheduled to hear the petition of CPPA-G on October 2, 2019(tomorrow) in which an increase of Rs 1.87 per unit has been sought to pass on impact of Rs 40 billion to the consumers. Analysts argue that the cumulative effect of July's FCA of 78 paisa per unit increase, and by Rs 1.87 per unit in August 2019 as well as 53 Paisa increase under Annual Adjustment/Indexation of Distribution Margin of Discos will be over Rs 3.15 per unit, which will create discontent amongst the consumers.
