Nepra’s UoSC decision hailed
ISLAMABAD: The Federal Minister for Energy (Power Division), Sardar Awais Ahmad Khan Leghari, and the Ministry of Energy (Power Division) have welcomed the decision of the National Electric Power Regulatory Authority (Nepra) on the determination of the Use of System Charge (UoSC) for open access users of the electricity network under the Competitive Trading Bilateral Contract Market (CTBCM)…
Federal Minister for Energy Sardar Awais Ahmad Khan Leghari, along with the Ministry of Energy, have expressed satisfaction with the National Electric Power Regulatory Authority's (Nepra) decision on the Use of System Charge (UoSC) for open access users in the Competitive Trading Bilateral Contract Market (CTBCM) framework. This marks a significant milestone in the reform and modernization of Pakistan's power sector.
The determination of the UoSC is the final critical regulatory step required to operationalize open access under CTBCM, enabling the issuance of an RFP for the country's first CTBCM auction process.
This advancement allows industrial consumers to procure electricity bilaterally from their preferred power suppliers through a competitive market mechanism, moving away from the traditional model of purchasing solely from distribution companies. The Federal Minister emphasized that the benefits of a competitive market extend beyond industrial consumers and can positively impact ordinary consumers.
Greater competition in power procurement can lead to more efficient generation, better utilization of existing power plants, incentives for improved-priced and reliable electricity supply, and reduced inefficiencies throughout the electricity value chain.
The Minister commended Nepra's role in providing the necessary regulatory framework for open access, highlighting the collaborative efforts of the Ministry of Energy, Nepra, and other stakeholders. The launch of the first CTBCM auction process symbolizes a substantial structural transformation of Pakistan's electricity market, steering the country towards a more competitive and consumer-centric power sector.
The Power Division remains committed to completing the remaining requirements and operationalizing the competitive electricity market in a transparent, efficient, and orderly manner, ultimately offering greater choice for eligible consumers and establishing a more efficient and sustainable electricity system for all Pakistanis.
Written by urgent.news from Business Recorder's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
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