The cost of electricity production in Pakistan increased by 25% in January, following more output from oil-fired plants and less output from hydro-electric plants.

The National Electric Power Regulatory Authority (Nepra) has reported that the share of furnace oil-based power production increased to 43% (from 37.13% in December), while hydro-electric power production fell to just 7.40% (compared to 22.82% in December).

Topline Securities analyst Hashim Sohail said: “Low water availability during winter badly impacted production from hydro-electric power plants in January.”

Nuclear-power production rose to 8% in the overall electricity output in January (against 6% in December), after the 340MW Chashma-III power plant came on-line in December. January also saw a “notable increase” in diesel-based power production to 5% (compared with 0.84% in December).

Meanwhile, it is reported that the 2,600MW National Thermal Power Corp plant at Ramagundam in southern India is lagging behind in power generation during the current financial year (1 April-31 March).

Since its inception in 2004, the plant had always surpassed the targeted generation and set new production records.

The recent decline in power generation has been attributed to the increasing use of renewable-energy sources such as wind power and solar energy in neighbouring Tamil Nadu and other southern states.