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Court restricts NEPRA from implementing higher tariffs on power
Sep '08
All Pakistan Textile Mills Association (APTMA) and a number of other manufacturing units filed a petition in Lahore High Court (LHC) against the implementation of increased tariff on industrial consumers.

The decision taken by the court was in favor of APTMA as it restrained the National Electric Power Regulatory Authority (Nepra) and other electric distribution companies from implementing higher tariffs till September 15.

NEPRA had substantially increased power tariffs on February 23, 2007. But just within a fortnight of the implemetation of the new power tariff, the power distribution companies filed a reveiw petition with NEPRA to further increase the tariffs.

Acting on the petition, NEPRA once again raised power tariffs effective from January 10, 2008, though the regulatory body did not have review powers.

Within a month of that increase, NEPRA once again raised the power tariffs in the guise of a so called self-regulated and automatic mechanism aptly named biannual adjustment. In view of the above, APTMA appealed to the Lahore High Court to restrain NEPRA from implementing the new power tariff structure.

Official sources from APTMA confirmed to Fibre2fashion that, “National Electric Power Regulatory Authority (NEPRA) approved a request by power distribution companies like Lesco, Fesco, Gepco and Mepco to increase rates but when the these companies in turn apprised APTMA of the hike, a petition was filed in the LHC which won favorable response.”

Moreover APTMA also got an order of the court in their favor with regard to a similar petition filed by them against Lesco and the court has therefore decided to jointly conduct a hearing of all the cases on September 15 after which extension of restriction or its nullification would be decided.

Fibre2fashion News Desk - India

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