Karachi, May 23, 2023 (PPI-OT): Power generation cost on the rise again!

Power generation for the month of April’23 has clocked in at 10,010GWh, increasing by 13%MoM while falling by 23%YoY compared to 12,960GWh SPLY.

Cheaper/efficient sources of generation majorly remained down during the month (Hydel, Nuclear).

Average cost of generation during the month rose by 16%MoM, standing at PkR10.39/kwh vs. PkR8.9/kwh in Mar’23. This is majorly due to the hefty increase in generation from thermal plants (RLNG, Coal and RFO) and the consequent decrease cheaper fuel sources i.e. Hydel and Nuclear.

More specifically, cost of generation of RLNG and coal backed generators stood at PkR23.8/12.26/kwh, changing by +42%/-17%YoY.

HUBC’s plants have seen a significant decrease in power generation (April’23 utilizations: 11%), with generation down 76%YoY despite the new TEL and TNPTL plants coming online this year.