KE Files Provisional Fuel Charge Adjustment of PKR 0.51/KWh for August

ISLAMABAD: KE has filed provisional Fuel Charge Adjustment (FCA) for the month of August 2024 at PKR 0.51 / KWh.

Fuel Charge Adjustments are incurred by utilities due to variation in fuel prices used to generate electricity and change in generation mix. These costs are passed through to the consumers following NEPRA’s scrutiny and approval. Consumers also receive a benefit when the cost of fuel decreases.

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The request for FCA is a result of the utilization of fuel sources based on economic merit order and changes in fuel prices.

Since, KE’s current MYT is yet to be determined, therefore based on practice followed in FCA decisions for the period from July 2023 to June 2024, KE has filed FCA on provisional basis with NEPRA Approved Interim Tariff as of March 2023 as reference wherein the FCA has been calculated based on variation in Actual Monthly Fuel Cost with respect to the Fuel Cost of March 2023.

As per NEPRA guidelines, the submission will be discussed in the public hearing. The regulator will approve the request, after scrutiny, and issue instructions on the period during which these costs can be applied to consumer bills.