4 days ago
- Business
- Business Recorder
Forced load-shedding: Nepra issues show-cause notice to KE
ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has issued show-cause to K-Electric for not obeying its instructions about forced load shedding in its jurisdiction which is legal as per the federal government's policy.
The show cause notice was issued on June 23, 2025, the day Power Division blocked relief of Rs 4.69 per unit for the consumers of Karachi for April 2025 under monthly FCA mechanism.
According to Nepra, a distribution company shall have plans and schedules available to shed up to 30% of its connected load at any time upon instruction from NTDC. This 30% load must be made up from separate blocks of switchable load, which can be disconnected in turn at the instruction from NTDC. A distribution company shall provide copies of these plans to NTDC.
Sindh PA slams KE for carrying out 'unjustified' load-shedding
Nepra argued that wherever possible NTDC shall give distribution companies advance warning of impending need for load shedding to maintain system voltage and/or frequency in accordance with the Grid Code.
As per the provisions of the Grid Code, NTDC shall maintain an overview and, as required, instruct each distribution company the quantum of load to be disconnected and the time of such disconnection. This instruction shall be given in clear, unambiguous terms and related to prepared plans.
The Authority issued an Explanation to the Licensee under Regulation 4(1) and 4(2) of NEPRA (Fine) Regulation, 2021 on January 08, 2025, on account of non-compliance of Authority's orders.
The Regulator argued that contrary to instructions, KE is carrying out AT&C based load shedding which is in violation of NEPRA Act & Performance Standards (Distribution) Rules 2005. In this regard, a feeder containing commercial losses (theft of electricity and nonpayment of dues by some consumers) is completely switched off for some hours a day despite the fact that some consumers Ion the same feeders are regular paying consumers. This establishes that compliant consumers are unnecessarily being punished due to some defaulters.
The Authority had taken notice of this and initiated and concluded the proceedings by imposing a penalty ofRs.50 million upon KE. The Authority is continuously emphasizing that the Licensee should carry out load shedding at Pole Mounted Transformer (PMT) level whenever it would be necessary, meaning thereby, the licencee can only carry out load shed upon instruction of system operation in case of generation shortage or transmission constraints.
Meanwhile, KE started a project of installation of AMI/AMR meters at distribution transformer level at a cost of Rs. 600 million. The primary purpose of this project is to identify specific energy loss at transformer level in terms of theft and non-payment along with other commercial benefits. Secondly, the Licencee stated that it could remotely connect & disconnect the supply at transformer level through the AMI/AMR meters. The project was completed in Dec 2021 and test run was performed up to June, 2022.
The Authority had gone through the record, reports, and submissions of the Licencee regarding the project of installation of AMI/AMR meters at each PMT. The Authority further observed that the Licensee is achieving all commercial benefits through the said project, however, it is not ready to give relief to the people of Karachi by carrying out load shedding at PMT level if necessary, in light of applicable documents.
Moreover, it is on record that during public hearings in the matter of monthly Fuel Cost Adjustment (FCA), the people of Karachi largely complained about excessive load shedding.
Copyright Business Recorder, 2025
