Federal Minister for Power Division Sardar Awais Ahmed Khan Leghari has taken serious notice regarding the off-take of power from Small Power Producers (SPPs)/Captive Power Plants (CPPs) by the DISCOs at the tariffs exceeding the prevailing national merit order.
Power minister takes notice of excessive tariffs in power off-take by DISCOs
ISLAMABAD, Apr 22 (APP):Federal Minister for Power Division Sardar Awais Ahmed Khan Leghari has taken serious notice regarding the off-take of power from Small Power Producers (SPPs)/Captive Power Plants (CPPs) by the DISCOs at the tariffs exceeding the prevailing national merit order.
The matter was revealed during a stock taking of DISCOs on Wednesday, said a press release.
The minister directed to immediately discontinue the practice and bring it in consistence with the provisions of the National Electric Power Regulatory Authority (NEPRA) Grid Code, Distribution Code and directions.
The minister also ordered an inquiry into the matter. He also directed to coordinate with ISMO for inclusion of SPPs /CPPs to ensure least cost for the consumer in dispatch of power plants on the basis of Economic Merit Order (EMO) principles.
In compliance with Federal Minister for Power’s directions the Power Division has issued instructions to all DISCOs to ensure the that no off-merit procurement from SPPs shall be undertaken under any circumstances without obtaining prior explicit approval from ISMO.
The off-take of electricity from SPPs shall be strictly limited to cases where such power falls within the prevailing national merit order, determined on the basis of incremental cost of generation by following the prescribed mechanism.
