Power Division hails NEPRA's CTBCM use of system charge decision

According to Mettis Global, the Ministry of Energy's Power Division has welcomed a determination by the National Electric Power Regulatory Authority (NEPRA) that sets the Use of System Charge for open access users in the CTBCM framework. The ministry described it as the final step needed before an RFP for the country's first CTBCM auction is released. Once it takes effect, eligible industrial users can purchase power directly from providers of their choosing rather than relying on distribution firms alone.

Federal Energy Minister Sardar Awais Ahmad Khan Leghari called the move a landmark for power sector reform, crediting joint efforts by the Power Division, NEPRA and other partners. He added that the gains could reach ordinary consumers through sharper efficiency in buying power, fuller use of current generation capacity and dependable, fairly priced supply. He also noted that the framework would open the door for renewable power, storage systems and other flexible options.

According to the minister, launching the first auction would be a structural change in the electricity market rather than a routine procurement step. The Power Division intends to finish the outstanding requirements transparently and in an orderly fashion, aiming to widen consumer choice.