ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has directed Sindh Nooriabad Power Company (Pvt) Limited (SNPC-I and SNPC-II) to resubmit its Commercial Operation Date (COD) adjustment (true-up) application along with complete and relevant supporting records for further processing.
According to Nepra’s decision, SNPC-I and SNPC-II are two gas-based power generation projects of around 50MW each, supplying electricity to K-Electric. The projects are jointly sponsored by the Government of Sindh (49pc) and Technomen Kinetics (Pvt) Limited (51pc). Nepra issued generation licences to the projects on July 15, 2015, while their reference tariffs were approved on June 1, 2016 under the Nepra Interim Power Procurement Regulations, 2005. Motions for leave for review were decided on August 4, 2017, and the projects achieved COD on January 8, 2018 (SNPC-I) and January 23, 2018 (SNPC-II).
SNPCs first sought adjustment of project costs and related tariff components in November 2019. However, Nepra observed that key information and supporting evidence were missing, leading to the return of the application. A subsequent application filed in May 2020 for one-time COD true-up was also returned after the Authority decided to re-determine the reference tariff and initiate separate proceedings. Following this, SNPCs filed a motion for leave for review in December 2020, which was admitted and heard in March 2021.
In its latest decision, Nepra noted that the company’s submissions carried merit and directed SNPC-I and II to resubmit the COD true-up application with all requisite details and documents, after which the case would be processed in accordance with the law.
Former Nepra Member (Technical) Rafique Ahmad Shaikh, who retired on December 5, 2025 after completing two terms as Member (Sindh), highlighted the strategic importance of the SNPC projects developed under a public-private partnership framework. He noted that by utilising indigenous gas, the projects have provided relief to K-Electric’s generation mix, despite facing multiple challenges since inception.
He recalled that the projects were initially planned with CPPA-G as the off-taker, but later shifted to K-Electric, requiring the Government of Sindh to develop a dedicated transmission line through Sindh Transmission and Dispatch Company. He further pointed out that post-COD, the projects suffered financial stress due to a NAB inquiry, which led to the withholding of return on equity and strained cash flows. Subsequent withdrawal of the NAB reference by the Accountability Court acknowledged the absence of evidence of overvaluation.
Emphasising the need for urgent resolution, Shaikh expressed hope that Nepra would prioritise pending matters, including the release of withheld return on equity, expeditious processing of the COD adjustment upon resubmission, and timely disposal of the tariff modification petition to ensure recovery of legitimate costs, safeguard the provincial exchequer and support Sindh’s energy security objectives.
Story by Mushtaq Ghumman
