The consumers are set to get relief in electricity bills in January 2026 on account of fuel adjustment.
Pakistan’s power regulator, NEPRA, on Wednesday held a hearing on the Central Power Purchasing Agency’s (CPPA) request that is ready to refund Rs0.72/unit to consumers in January bills, potentially giving consumers relief of over Rs5.6 billion.
This proposed refund is on account of monthly fuel charges adjustment (FCA) for November, where the power cost was low, while consumers were charged at higher rates.
The hearing, chaired by NEPRA Chairman Waseem Mukhtar, was completed after reviewing the CPPA’s application and related submissions. The final decision has been reserved and will be announced later.
According to CPPA, the proposed reduction, if approved, would benefit consumers nationwide, including Karachi in January bills, as part of the monthly fuel price adjustment under government policy guidelines. NEPRA had also conducted a survey in Karachi to assess the impact of load shedding, highlighting local electricity supply issues.
NEPRA officials said the decision could provide up to Rs6 billion in relief to consumers, and future meetings may involve the Power Division to finalize related budget allocations.
NEPRA member Masood Anwar emphasized that the regulator has not approved the budget of the Power Planning and Monitoring Company, which had incurred Rs1.88 billion in expenses from 2021-22 to 2023-24.
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Official data shows that total electricity generation in November stood at 8,050 gigawatt-hours (GWh), with an overall cost of Rs50.09 billion, translating into about Rs6.22 per unit. After adjusting for transmission losses, independent power producer (IPP) sales and previous adjustments, the net electricity supplied to Discos was 7,813 GWh, costing Rs48.14 billion, or Rs6.162 per unit. This figure also includes Rs0.037 per unit in prior refund adjustments.
Hydropower remained the backbone of the national grid, contributing 3,153 GWh, or 39.16 per cent of the total electricity mix. Nuclear power followed with 2,031 GWh (25.23 per cent) at a cost of Rs2.27 per unit.
Among thermal sources, RLNG-based plants generated 696 GWh (8.64 per cent) but at a steep cost of Rs21.58 per unit. Local coal plants added 752 GWh (9.34 per cent) at Rs17.77 per unit, while imported coal contributed 407 GWh (5.06 per cent) at Rs14.14 per unit. Pakistan also imported 35 GWh of electricity from Iran at a cost of Rs22.57 per unit.
Indigenous gas-based plants produced 680 GWh (8.44 per cent) at Rs14.34 per unit. Notably, no electricity was generated using expensive residual fuel oil (RFO) or high-speed diesel during the month.
Renewable sources also made a modest contribution: wind power supplied 136 GWh, bagasse-based plants generated 75 GWh at Rs10.84 per unit, while solar added 86 GWh to the grid.
NEPRA has scheduled a public hearing on December 31 to consider the CPPA-G request. Under existing federal policy guidelines, any approved FCA for ex-Wapda Discos will also apply to K-Electric consumers, ensuring a uniform adjustment across the country.
