Islamabad:
The electricity division has expressed serious concerns about the seven-year multi-year tariff (MYT) decision recently published by the National Electric Power Regulatory Authority (NEPRA) for K-Electric, warning that it could have large-scale financial and political implications.
The Federal Minister of Power Awais Leghari warned that such determinations may have a negative impact on the confidence of investments in future MyT periods.
In a press release published on Wednesday on the social media platform “ X ”, the minister said that the ministry had observed serious concerns concerning the multiple NEPRA decisions concerning K-Electric licenses for production, transmission, distribution and supply, adding that these decisions also address the investment plan for the next price period of several years.
“These decisions have significant long -term effects on consumer prices and federal government’s subsidies in a uniform tariff regime.” He revealed that the ministry planned to examine the recently issued determinations linked to transmission, distribution and offer. Meanwhile, a review of the price decision of the previous generation awaited the attention of NEPRA, although it was submitted in December 2024. “This delay poses serious financial implications for the electricity sector and its subsidies.”
In addition, he warned that if certain areas were not discussed, they may have a negative impact on consumers and the regulatory environment, which could hinder Pakistan’s efforts to encourage private participation in the distribution sector.
