Brace for another massive hike in electricity tariff

NEPRA Raises Electricity Tariffs by Rs5.63 per Unit, Following Fuel Adjustment Review.

Brace for another massive hike in electricity tariff. The National Electric Power Regulatory Authority (NEPRA) is anticipated to hike electricity prices in Pakistan, attributing the increase to fuel cost adjustments.

The Central Power Purchasing Agency (CPPA) has lodged a plea with NEPRA, advocating for a Rs7.13 per unit rise in electricity prices, slated to take effect from the upcoming month. If NEPRA greenlights the request, consumers, already grappling with inflation, could face an additional burden of Rs66.77 billion.

According to CPPA’s petition, a staggering 7.93 billion units were disbursed to power distribution companies in January 2024.

NEPRA is scheduled to review the petition on February 23. However, it’s important to note that the revised prices won’t impact lifeline KE consumers.

This development comes on the heels of NEPRA’s recent decision on January 31 to elevate electricity tariffs by Rs5.63 per unit, stemming from monthly fuel adjustments. The decision followed NEPRA’s deliberations on CPPA’s petition, which sought a tariff hike of Rs5.63 per unit for December 2023.

It is pertinent to mention here that on January 31, the National Electric Power Regulatory Authority (NEPRA) increased the electricity tariff by Rs5.63 per unit on account of monthly fuel adjustment (MFA).

The decision was announced after the NEPRA completed a hearing on the Central Power Purchasing Agency (CPPA) petition seeking a hike in electricity tariff by Rs5.63 per unit under fuel monthly adjustment for December 2023.