Karachi: End consumers saved nearly PKR 65 billion in one fiscal year due to the shift away from furnace oil to imported gas, according to a news source. These savings were achieved in the fiscal year ending on June 2018, and resulted from the move towards imported re-gasified liquefied natural gas (RLNG).
The National Electric Power Regulatory Authority (NEPRA) revealed this information in its Annual Report 2017-18. This report was issued recently and stated that these savings were passed on to the end users in the form of a fuel price adjustment.
This adjustment was mainly due to the power purchase price (PPP), which included the impact of transmission & distribution (T&D) costs, fuel cost adjustment (FCA), and prior year adjustment (PYA). The benefits of this relief were enjoyed by all consumers, apart from agricultural consumers or those using more than 300 units.
This was because the government phased out 4,000 Megawatts (MW) of production capacity based on furnace oil, and added 5,000 MW of capacity based on RLNG till June 30, 2018.
