Business

KE produced electricity at extremely high rates in June, document reveals

Published

1 year ago

Farwa

KE’s generation cost was higher in June, document shows.
It produced electricity at an average cost of Rs24.90 per unit.
Discos, KE may charge additional Rs1.81, Rs2.31 per unit in Aug bills.

ISLAMABAD: Karachiites are forced to pay higher rates for electricity than consumers in other parts of the country, according to a document shown during a public hearing held by the National Electric Power Regulatory Authority (Nepra) on Wednesday.

Nepra conducted a public hearing on the petitions filed by the distribution companies and K-Electric (KE) for a hike of Rs1.8846 per unit and Rs2.336 per unit, respectively.

The petitions were in relation to the monthly Fuel Charge Adjustment (FCA) for June 2023.

According to the document shown during the hearing, the power generated by KE was about 114% more expensive than the electricity it obtained from external sources in June 2023.

The utility generated electricity at a cost of up to Rs50.31 per unit in the previous month.

The documents further stated that the KE generated electricity at an average of Rs24.90 per unit in the last month while it purchased power from external sources at an average of Rs 11.65 per unit.

Furthermore, the documents revealed that KE produced electricity from diesel at Rs50.31 per unit, from Liquefied Natural Gas (LNG) at Rs43.37, and from furnace oil at Rs35.91.

The only vertical power utility company in the country didn’t produce a single unit of power from gas (local), the report added.

In June 2023, the documents revealed, KE generated 50.2% of its electricity from its own sources, whereas it bought 49.8% from other sources.

Document presented during Nepra hearing. — Reporter

KE may charge additional Rs2.31 per unit in August bills

Meanwhile, the power regulator hinted on Wednesday that ex-Wapda distribution companies (Discos) may be allowed to collect an additional Rs1.81 per unit from their cus in the upcoming August bills.

Similarly, Nepra also suggested that KE could potentially collect an extra Rs2.31 per unit from their consumers in the same billing period.

On Wednesday, the authority conducted public hearings on the petitions filed by the distribution companies and K-Electric for a hike of Rs1.8846 per unit and Rs2.336 per unit, respectively.

These petitions were in relation to the monthly Fuel Charge Adjustment (FCA) for June 2023.

NEPRA Chairman Tauseef H. Farooqi presided over the proceedings in the presence of other authority members, including Rafique Ahmad Shaikh (member technical) representing Sindh, Amina Ahmed (member law) from Punjab, Engr Maqsood Anwar Khan from Khyber-Pakhtunkhwa, and Mathar Niaz Rana (member tariff and finance) from Balochistan.

If the regulator decides to approve these rates in their final decisions, it will result in an impact of nearly Rs29 billion (including GST) for the Discos and approximately Rs5 billion (including GST) for K-Electric consumers.

The proposed increase will be applicable to all consumer categories except Electric Vehicle Charging Stations (EVCS) and Lifeline consumers.

Notably, for May 2023, the FCA for Discos was an increase of Rs1.9039 per unit, while K-Electric saw an increase of Rs1.4465 per unit, and these charges are currently being collected in the July 2023 bills.

Business

With its second-largest surge ever, PSX approaches 114,000 points.

Published

2 days ago

Farwa

Driven by renewed activity from both private and government financial institutions, the Pakistan Stock Exchange (PSX) saw its second-largest rally in history on Monday.

The market regained many important levels in a single trading session as it rose with previously unheard-of momentum.

Intraday trading saw a top increase of 4,676 points, and the PSX’s benchmark KSE-100 Index gained 4,411 points to settle at 113,924 points. This impressive rebound demonstrated significant investor confidence by reestablishing the 100,000, 111,000, 112,000, and 113,000-point levels.

The market also saw the 114,000-point limit reestablished during the trading session.

The positive tendency was reflected when the market’s heavyweight shares touched its upper circuits. Among the most busiest trading sessions in recent memory, an astounding 85.78 billion shares worth a total of Rs55 billion were exchanged.

Experts credited the spike to heightened institutional investor activity and hope for macroeconomic recovery. Considered a major market recovery, the rally demonstrated the market’s tenacity and development potential.

Business

In interbank trade, the Pakistani rupee beats the US dollar.

Published

1 week ago

Farwa

In the international exchange market, the US dollar has continued to weaken in relation to the Pakistani rupee.

The dollar fell to Rs278.10 from Rs278.17 at the beginning of interbank trading, according to currency dealers, a seven paisa loss.

In the meantime, there was a lot of turbulence in the stock market, but it recovered and moved into the positive zone. The KSE-100 index recovered momentum and reached 116,000 points after soaring 1,300 points.

Both currency and stock market swings, according to analysts, are a reflection of ongoing market adjustments and economic uncertainty.

Business

Phase II of CPEC: China-Pakistan Partnership Enters a New Era

Published

1 week ago

Farwa

The cornerstone of economic cooperation between the two brothers and all-weather friends is still the China-Pakistan Economic Corridor, the initiative’s flagship project.

In contrast to reports of a slowdown, recent events indicate a renewed vigour and strategic emphasis on pushing the second phase of CPEC, known as CPEC Phase-2, according to the Ministry of Planning, Development, and Special Initiatives.

According to the statement, this crucial stage seeks to reshape the foundation of bilateral ties via increased cooperation, cutting-edge technology transfer, and revolutionary socioeconomic initiatives.

Planning Minister Ahsan Iqbal is leading Pakistan’s participation in a number of high-profile gatherings in China, such as the 3rd Forum on China-Indian Ocean Region Development Cooperation in Kunming and the High-Level Seminar on CPEC-2 in Beijing.

His involvement demonstrates Pakistan’s commitment to reviving CPEC, resolving outstanding concerns, and developing a strong phase-2 roadmap that considers both countries’ long-term prosperity.

At the core of these interactions is China’s steadfast determination to turn CPEC into a strategic alliance that promotes development, progress, and connectivity.

Instead of being marginalised, CPEC is developing into a multifaceted framework with five main thematic corridors: the Opening-Up/Regional Connectivity Corridor, the Innovation Corridor, the Green Corridor, the Growth Corridor, and the Livelihood-Enhancing Corridor.

With the help of projects like these, the two countries will fortify their partnership, and CPEC phase-2 will become a model of global economic integration and collaboration that benefits not just China and Pakistan but the entire region.