Islamabad:
Four government -owned power plants have also submitted applications for the power regulator for reduction in customs components.
The National Electric Power Regulatory Authority (NEPRA) is scheduled to hear these applications filed through the Central Power Charling Agency-Guarye (CPPA-G) on April 24.
In a message published in newspapers, NEPRA informed all stakeholders, interested or affected persons and the public that it has admitted the joint applications filed by CPPA-G for reduction in Customs Components:
The power plants that have submitted the applications are National Power Parks Management Company (Balloki); National Power Parks Management Company (Haveli Bahadur Shah); Central Power Generation Company Limited and Northern Power Generation Company Limited (Nandipur).
The power companies have requested an audit in the O&M indexing mechanism.
The O&M indexing mechanism refers to the method used to adjust the operating and maintenance costs of a project or service over time, typically in long-term contracts such as those in the energy sector. The goal is to ensure that the service provider is compensated fairly despite inflation.
The companies have also requested an insurance room to 0.80%/0.90% of the approved technology, procurement and construction (EPC) costs. This means that the cost of insuring the project cannot exceed 0.80% or 0.90% of the total approved EPC contract value.
