Client:
United States Agency for International Development (USAID)
PITCO, as a major subcontractor to International Resources Group (IRG), conducted a cost of service study and tariff design for utilities under the USAID-funded Power Distribution Program from October 2012 to September 2015. The study aimed to establish cost-reflective tariffs by allocating costs to various customer categories. The project involved developing a customized Cost of Service (CoS) model, estimating revenue requirements, and structuring transparent and justifiable tariffs.
The services provided included liaising with DISCOs for data collection, developing and implementing the CoS model, and providing training sessions for DISCO and NEPRA professionals. The project also involved improving regulatory guidance, reviewing tariff rules, and assessing IT infrastructure for better data management. The comprehensive study aimed to improve the utilities’ capacity to determine appropriate tariffs, ensuring financial sustainability and efficiency.
