NEPRA approves tariff reduction for K-E consumers

ISLAMABAD:  The National Electric Power Regulatory Authority (NEPRA) has announced a PKR 3.02 per unit relief under the January 2025 Fuel Charges Adjustment (FCA) for K-Electric (KE) consumers, which will be reflected in their April 2025 electricity bills.

This adjustment comes as part of NEPRA’s ongoing efforts to ensure fair electricity pricing based on global fuel price fluctuations and changes in the generation mix.

The NEPRA fuel charge adjustment mechanism allows consumers to benefit from lower electricity costs when fuel prices decline.

To prevent future financial burdens on consumers, NEPRA has provisionally retained PKR 2 billion from the FCA for January 2025.

This amount accounts for adjustments related to partial load, open cycle operations, degradation curves, and start-up costs. These retained funds will be adjusted against KE’s pending claims.

Read more: PM Shehbaz announces reduction in electricity prices

The NEPRA fuel charges adjustment applies to most consumer categories, except lifeline consumers, domestic protected consumers, Electric Vehicle Charging Stations (EVCS), and prepaid electricity consumers.

KE initially requested a PKR 4.84 per unit relief for January 2025, but NEPRA approved PKR 3.02 per unit after scrutiny.

NEPRA is considering an additional PKR 6.62 per unit reduction under the February 2025 fuel charges adjustment (FCA), which could provide further financial relief to Karachi’s electricity consumers.

Prime Minister Shehbaz Sharif recently announced a nationwide electricity tariff reduction, including Rs7 per unit relief for domestic consumers and Rs7.59 per unit relief for industries.