ISLAMABAD: The government’s new Electric Vehicle (EV) Charging Stations Policy has confused the investors instead of facilitation.
This was witnessed during a public hearing in NEPRA on the EV Charging Stations across the country meant to facilitate to make easy for the EV owners to charge their vehicles.
The government wants to reduce base tariff of EV’s charging stations from Rs 45.55 per unit to Rs 23.57 excluding existing taxes and adjustments. However, venders of EV Charging stations will fix their own rates for the consumers.
Additional Secretary Power, Mehfooz Bhatti, CPPA-G representative, Naveed Qaisar and Managing Director NEECA defended the policy and answered questions to the Authority, consumers etc.
Member(Tariff), Mathar Niaz Rana, Member (Law), Member (KPK) raised a number of questions on the proposed mechanism, criteria for establishment of EV charging stations. Arif Bilwani asked about impact of cross subsidy on other consumers.
Naveed Qaisar, explained that the government is projecting sale of Rs 814 billion from the EV charging stations per annum for which cross subsidy will be Rs 9.85 billion (Rs 22 per unit). Incremental sale impact will of Rs 0.18 per unit, due to which cross subsidy for other consumers will reduce by Rs 0.11 per unit with net impact of Paisa 7 per unit.
The representative Arzachel Pvt. Limited said that there is disconnect in the policy due to which the investors who intend to establish EV charging stations are confused. Similar remarks also came from other interveners.
Operating reserve policy of NTDC: During the public hearing on NTDC’s petition about operating reserve policy, the Authority members were of the view that NTDC wants to continue “Take or Pay” in the of operating reserves to stabilize its system, the cost of which will be paid by the consumers.
Power Division officials were of the view that investors are not coming to charging stations due to high electricity prices. Currently, there are only eight charging stations across the country.
“The government wants to open this market so that people come here. We want to remove regulatory barriers in the country. NEECA has framed the rules for charging stations,” said Power Division officials.
The Authority members raised questions on NEC’s role in charging stations.
“When charging stations will get electricity from the Discos and the land from the provinces, then what is the role of NEECA? “questioned NEPRA officials.
NEPR Authority also sought justification of NEECA’s role in role in the establishment of EV charging stations, questioning that will the role of NEPA be regulatory or facilitation.
“If Nepra is the regulator of the remaining 38 million electricity consumers, then how can NEECA be the regulator of only charging stations,” observed authority.
