Electricity tariff likely to go up Rs1.20 per unit in Pakistan

ISLAMABAD: The Central Power Purchasing Agency (CPPA) has submitted a request to the National Electric Power Regulatory Authority (NEPRA) seeking an increase of Rs1.20 per unit in electricity tariff under the June fuel price adjustment mechanism.

According to the petition submitted to the National Electric Power Regulatory Authority (NEPRA), the proposed increase is based on changes in fuel costs for electricity generation during June.

NEPRA will conduct a hearing on the request on 29 July.

The CPPA stated that 13.431 billion units of electricity were generated in June, while more than 13 billion units were supplied to power distribution companies.

The average cost of electricity generation during the month stood at Rs8.91 per unit, compared with the reference cost of Rs7.71 per unit.

According to CPPA data, hydropower accounted for 39.03% of electricity generation in June, while local coal contributed 10.11%. Imported coal accounted for 12.65% and furnace oil contributed 0.74% of total generation.

Electricity generated through local gas stood at 6.45%, while imported LNG contributed 11.02%. Nuclear energy accounted for 13.40%, wind power 5.03%, and solar energy 0.82% of total electricity generation during the month.

NEPRA will review the request before making a final decision on the proposed tariff adjustment.

Prior to this, the National Electric Power Regulatory Authority (NEPRA), earlier this month, raised electricity prices by Rs 0.34 per unit across Pakistan.

NEPRA also issued an official notification regarding the power tariff hike.

The power regulatory body explained that the electricity price was increased by Rs 0.34 per unit due to the monthly fuel charges adjustment (FCA) for May.

The price hike was applied to all electricity distribution companies (DISCOs) across the country, including K-Electric.

Electricity consumers witnessed the additional charges reflected in their July bills, NEPRA stated.