CPPA seeks another electricity tariff hike

The Central Power Purchasing Agency (CPPA) has sought a Rs2.94/unit hike in electricity tariff in terms of monthly fuel charge adjustment (FCA) for March 2024, ARY News reported on Friday.

Electricity consumers are expected to bear another massive hike in tariffs in the coming days. The CPPA submitted a plea to the National Electric Power Regulatory Authority (NEPRA) to approve a Rs2.94/unit hike in electricity tariff for March FCA.

The NEPRA’s approval would increase the financial burden worth Rs22.80 billion on the power consumers.

According to the CPPA, over 7 billion units were sold to consumers in March 2024. The recent hike includes adjustments of over Rs7 billion.

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In February, the National Electric Power Regulatory Authority (NEPRA) notified a massive hike of Rs7.5 per unit in the price of electricity as part of the fuel price adjustment (FCA).

According to NEPRA notification, the power sector’s regulatory authority approved increase in the electricity tariff by Rs7.5 per kilowatt hour (kWh) under the head FCA of January 2024 and this hike in power tariff was charged to power consumers during the month of March 2024.

The hike in the power tariff caused Rs66 billion worth of additional burden on the already burdened power consumers.