NEPRA imposes fine on CPPA-G

Staff Reporter


NEPRA imposed Rs.1million on CPPA-G under NEPRA (Fines) Rules 2002, due no to non-compliance of the Authority’s direction with respect to submission of Monthly Fuel Charges Adjustment (FCA) data for the month of February 2017. The Authority, in terms of second proviso to Section 31(4) of Regulation of Generation, Transmission and Distribution of Electric Power Act, 1997, is required to make adjustments in the approved tariff on account of variations in fuel charges within a period of seven days on monthly basis.
For the purpose, CPPA-G is required to submit the requisite details by 3rd of each month and thereafter a hearing is conducted subsequent to which necessary adjustments in the reference tariff are made.
Considering the period of seven days and the direction/decision of the honorable Lahore High Court, Lahore in this regard, the Authority issued instructions to CPPA-G, to submit the requisite information Idetail for the month of February 2017 without further delay. Despite clear instructions from the Authority, CPPA-G did not submit the requisite information and thus violated the explicit directions of the Authority.
The information was finally submitted by CPPA-G in April 2017. CPPA-G, by deliberately delaying the information, denied consumers their legitimate benefit of negative FCA of Rs.2.1501/kWh i.e. around Rupees Six (06) billion, pertaining to February 2017, to be passed on in their monthly bills of April 2017.

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