Nepra asked to amend wheeling of electric power regulations

ISLAMABAD: The Power Division has directed National Electric Power Regulatory Authority (Nepra) to amend wheeling of electric power regulations aimed at adding displaced capacity charges to the wheeling charge for one year.

Nepra through SRO No. 549(1)2016 of February 13, 2016 issued notification of wheeling of electric power regulation 2016. The purpose of the regulation was to open to market and move towards bilateral trade of energy between buyers and sellers without intermediaries like CPPA as single buyer. Since its notification in 2016, not much headway was made because of certain observations of key stake- holders regarding the regulation.

Power Ministry, in its official statement said that in order to resolve this issue meetings were held to develop a request to a regulator for making appropriate charges in the subject regulation for the purpose of this regulation to take effect. The following is submitted for consideration of the Authority as modification to the regulation: (i) The regulation should be limited to wheeling on dedicated feeders (132 and 11 Kv) for loads above 1 MW. The wheeling should be limited to licence area of a distribution company. No inter-Disco trade be allowed for the time being; (ii) any interested consumers utilizing this regulation should be allowed to retain utility connection for which relevant charges will be paid by them; and (iii) in case of non- utilization of the energy by the buyer, banked energy should be allowed for a month after that the seller should either sell this energy to another buyer (other than Disco ) or shut down the plant. It will not be mandatory for the Disco to buy this energy.

Published in Business Recorder, 20th March, 2018