Amidst rising concerns over the economic fallout, the decision by the National Electric Power Regulatory Authority (NEPRA) to implement a tariff hike of Rs7.0562 per kilowatt-hour (kWh) for January 2024 is drawing criticism from trade leaders, impacting not only conventional energy sectors but also raising questions about its implications for the burgeoning solar and green energy industries.
Unfair Tariff Increase Sparks Outcry in the Solar Energy Market
Iftikhar Ahmed Sheikh, President of the Karachi Chamber of Commerce and Industry (KCCI), has strongly denounced NEPRA’s decision, particularly highlighting its impact on the solar energy market. Sheikh emphasized the inequity of imposing an additional tariff of Rs7.0562 per kWh across all consumer categories, hindering the growth trajectory of solar energy adoption.
Circular Debt and Tariff Strategy Critique in the Context of Green Energy Policies
Sheikh pointed out that the circular debt, soaring past Rs5.73 trillion, is a result of insufficient efforts to control theft and line losses, affecting the realization of Green Energy Policies. He criticized the strategy of addressing circular debt by raising tariffs, predicting that it would exacerbate the situation by incentivizing electricity theft and slowing down investments in solar technology developments.
Industry Leaders Call for Urgent Review Amidst Solar Market Analysis
Muhammad Farooq Shaikhani, President of the Hyderabad Chamber of Small Traders and Small Industry, emphasized the necessity of urgent reviews in the context of solar market analysis. Shaikhani expressed concern over the potential setbacks for solar energy investment and technology developments, urging a nuanced approach to safeguard the growth of the solar energy sector.
As the tariff hike takes effect, stakeholders in the solar energy market remain on edge, anticipating the potential ramifications on solar energy adoption, industry advancements, and the overall economic stability.
Source: tribune.com.pk
