Parliamentary Secretary for Energy Rana Iradat Sharif Khan on Wednesday informed the National Assembly that fuel adjustment charges were being levied on the electricity bills after every two months keeping in view fuel prices in the country.
If the fuel adjustment charges were not recovered, then the circular debt would increase proportionately, which might result in the bankruptcy of distribution companies, he said while replying to a calling attention in the House.
Rana Iradat Khan said the National Electric Power Regulatory Authority (NEPRA) determined the energy prices after every two months and also decided the fuel adjustment charges.
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He said the circular debt had doubled over the three-year tenure of the Pakistan Tehreek-e-Insaf (PTI) regime, and the present government had reduced its volume.
The fuel adjustment charges would start coming down after next month, he said, adding that NEPRA worked under the law.
Answering to a question, Iradat said it was not the present government only but the previous administration also levied the fuel adjustment charges. The provinces were given net hydel charges which the provincial governments spent on the development of hydroelectric generating areas, he added.
