PM Constitutes Body For Legislative Improvements In NEPRA Act

The decision of legislative improvements in the NEPRA Act was made at a meeting on the strategic roadmap for the energy sector, which was held on January 5, 2023.

PM Constitutes Body For Legislative Improvements In NEPRA Act

The Prime Minister has constituted a committee headed by the former Prime Minister for a comprehensive review and legislative improvements in the NEPRA Act as the government is unhappy with the “undue activism” of the power regulator, well-informed sources told.

The decision of legislative improvements in the NEPRA Act was made at a meeting on the strategic roadmap for the energy sector, which was held on January 5, 2023, and was presided over by the Prime Minister.

The committee for comprehensive review and legislative improvements in the NEPRA Act also included the ministers of power, defense, commerce, industries, and production, as well as the secretaries of state for finance, petroleum, and natural resources. They will examine “The Regulation of Generation, Transmission, and Distribution of Electric Power Act, 1997 (as amended through 2021)” and make legislative recommendations. As needed, the committee may co-opt a member or expert.

On the basis of Power Division’s presentation, the meeting discussed various issues related to energy conservation. The prime minister has directed the Power Division, AEDB/Nepra, to launch the first phase of solarization of government buildings as soon as possible.

The deadline for solarizing all federal government buildings (in various phases) is April 30, 2023. The AEDB is tasked with ensuring that relevant data is completed by January 15, 2023.

The Power Division has also been directed to issue the RFP and bid documents for the generation of 2000 MW of solar power on 11 KV feeders as soon as possible. This project’s completion date is set for September 10, 2023.

On solar panels, the Ministry of Industries and Production must ensure that the Federal Cabinet considers and approves the policy on local manufacturing of solar panels by March 31, 2023.

The Minister of Finance has been directed to devise a strategy for the early release of solar panels stranded at ports. For the success of the PM’s solarization initiative, a forex buffer would be kept to ensure the uninterrupted import of solar equipment.

The Ministry of Industries and Production has been directed to complete the policy for local E-Bike manufacturing by March 1, 2023. The MoI&P, in consultation with the Finance and Revenue Divisions, will determine the timeline for 100% production of e-bikes and the provision of allied services.

The meeting also agreed that the SSGC and SNGPL must instal 550,000 conical baffles in existing geysers by October 31, 2023. The Ministry of Science and Technology will ensure that conical baffles are installed in all geysers currently being manufactured in Pakistan by December 1, 2022, as required. The next conservation stocktake would include a report on implementation.

The meeting also decided that PSQCA would change the standard to prohibit the manufacture of incandescent bulbs. The meeting directed the relevant ministries to communicate that the manufacture and sale of incandescent bulbs will be prohibited after June 30, 2023, to ensure a smooth transition.

The meeting also decided that, as previously approved by the Cabinet, the manufacturing of only minimum energy performance standard fans will be permitted beginning July 1, 2023. In the next meeting, the Ministry of Science and Technology will propose a mechanism to discourage the manufacture of inefficient fans.

The committee, chaired by the Minister for BoI, will provide a progress report on its meetings with manufacturers of fans and bulbs. During the next stocktake, it will also recommend interventions for the replacement of existing fans in use by lifeline electricity consumers in consultation with the Power, S&T Divisions, and NEECA.

The SAPM on Government Effectiveness will present on NEECA’s institutional capacity, and recommendations for further strengthening will be discussed at the next stocktake meeting.