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The National Electric Power Regulatory Authority (NEPRA) has raised serious concerns over the country’s rising capacity charges, terming them a major reason behind the steep electricity tariffs.

During a public hearing on Thursday on petitions filed by 11 distribution companies (Discos) for the determination of Use of System Charges (UoSC), NEPRA Member (Technical) Rafique Ahmad Shaikh remarked that “only a miracle” could reduce capacity charges under the current circumstances.

The hearing, chaired virtually by NEPRA Chairman Waseem Mukhtar, was also attended by Member (Law) Amina Ahmed and Member (Development) Maqsood Anwar Khan. Government representatives, including PPMC Managing Director Mehfooz Bhatti, outlined a plan to auction 800 MW of electricity at wheeling charges averaging Rs. 12.55/kWh, with a maximum limit of 1 MW.

GEPCO’s team presented multiple models for launching the Competitive Trading Bilateral Contract Market (CTBCM), including a hybrid system. However, NEPRA members expressed concerns, highlighting the absence of an approved Standard Cost Framework, which remains a prerequisite for moving forward.

The regulator emphasized that it can only approve grid charges, not standard costs, until the government submits the required framework. Officials clarified that industrial consumers are already charged under a two-part tariff system, and a hybrid model combining volumetric (kWh-based) and capacity-based (kW/month) charges is under review.

Industry stakeholders, including the Karachi Chamber of Commerce and Industry (KCCI), criticized the petitions, warning that higher wheeling and system charges would hurt industrial competitiveness and risk overburdening specific consumer groups. KCCI’s Tanveer Barry argued that such costs could undermine exports and called for a more transparent and equitable framework.

NEPRA noted that capacity charges remain excluded from the proposed UoSC/Grid Charges in line with the National Electricity Plan 2023–27, but admitted that recovery shortfalls and inefficiencies continue to drive up these costs.

Japan’s central bank has kept its key interest rate unchanged at 0.5%, in a decision that was widely expected, given recent inflation trends that have stayed above target

TOKYO — Japan’s central bank kept its key interest rate unchanged at 0.5% Friday, in a decision that was widely expected, given recent inflation trends that have stayed above target.

The Bank of Japan issued its decision on the overnight call rate after a two-day meeting by its policy board.

“Japan’s economy has recovered moderately, although some weakness has been seen in part. Overseas economies have grown moderately on the whole,” it said in a statement.

The U.S. Federal Reserve cut its policy rate by 0.25 percentage points earlier this week, the Fed’s first cut since December, and lowered its short-term rate to about 4.1%, down from 4.3%.

Japan had been ailing from deflationary trends in recent years, but prices are gradually rising. Recent government data show consumer prices rising above the central bank’s target of 2%, at between 2.5% and 3%.

The Bank of Japan noted exports will be hit by higher tariffs, which have come about because of U.S. President Donald Trump’s policies. There was an increase in trade in anticipation of the tariffs, but those rises are now tapering off, it said.

Also mentioned as a risk factor was the uncertainty in domestic politics. Prime Minister Shigeru Ishiba is stepping down, and the ruling party is holding an election to choose a new leader.

Five candidates are expected to enter the race, with a party vote coming early next month. The grip on power by the Liberal Democratic Party, which has ruled postwar Japan almost incessantly, appears to be unraveling lately.

The Japanese stock market has been booming recently, with the benchmark Nikkei 225 hitting another record Thursday, cheered by the Fed’s rate cut. Shares were falling slightly in Friday morning trading.

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Yuri Kageyama is on Threads: https://www.threads.com/@yurikageyama

This insights piece examines key challenges linked to nature-related metrics and target-setting for downstream actors in the forest and agri-food value chains. It outlines a high-level blueprint for a differentiated approach that addresses the distinct needs of actors across these value chains to strengthen accountability across forest and agri-food value chains. 

To achieve this, the insights piece: 

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The aim is not to replace existing frameworks but to serve as a steppingstone to more rigorous, detailed and prescriptive guidance within them. 

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This insights piece is part of WBCSD’s initiative to promote the harmonization of nature-related metrics used by corporations. To do so, we are driving an initiative to help sustainability practitioners identify the most relevant metrics to measure progress, set targets and disclose information on their key nature impacts and dependencies, in alignment with major voluntary and regulatory frameworks. This initiative is a continuation of the Roadmaps to Nature Positive that started in 2022.