NEPRA Sets Grid Fees for Pakistan’s New Power Market

Opening Up Pakistan's Power Sector

Pakistan is officially moving closer to a competitive electricity market. The national regulator, NEPRA, has approved standardized transport fees for bulk power users, removing the main legal obstacle for the country’s upcoming 400-megawatt electricity auction.

What Businesses Will Pay to Move Power
To send electricity from private generators across the national grid, bulk consumers have to pay a "use of system" charge. This fee bundles together transmission, distribution, grid maintenance, and cross-subsidies.


For companies participating in the new competitive market, the wheeling charges per unit look like this:

B-3 Industrial: Rs 6.23

B-4 Industrial: Rs 9.09

General Supply (A-2 & A-3): Rs 19.14

Commercial Supply (C-2 & C-3): Rs 14.95 to Rs 19.62

Every facility will also pay a flat grid connection fee of Rs 1 per kilowatt every month based on their sanctioned capacity.


Higher Rates for Staying Out
Businesses that choose not to participate in the competitive market will get hit with much steeper transport costs. Non-participating B-3 buyers will pay Rs 19.17 per unit, while commercial users in the C-3 category face charges as high as Rs 32.56 per unit. The steep markup is designed to push large energy users directly into the open market.


What Comes Next
The newly created Independent System Operation (ISMO) will run the initial 400MW auction in the coming months, marking the first half of a broader 800MW rollout. Winning bids will hold firm for one year, giving commercial buyers predictable pricing while helping the government satisfy key reform timelines tied to its IMF program.

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