Nepra Allows Rs 2.74 Per Unit Increase in Electricity Rates
Staff Report
The consumers are set to face a Rs 2.74 per unit increase in electricity bills in April 2024 as Nepra has given the green light for a massive hike in power tariff.
The power regulator allowed an increase in electricity rates by Rs. 2.74 per unit, marking the 2nd Quarterly Adjustment of the fiscal year 2023-24.
This move translates to a total adjustment of Rs. 85.2 billion for the second quarter, affecting consumers with an additional Rs. 2.7492/kWh.
Starting March 30, 2024, the current quarterly adjustments of Rs. 4.43/kWh will no longer apply.Check IESCO Bill Online| Download IESCO Duplicate Bill April 2023
To ease the burden on consumers, Nepra decided to implement the 2nd quarterly adjustment from April 2024 onwards, once the existing adjustments expire.
This adjustment will be spread out over three months, from April to June 2024, excluding lifeline consumers, giving a breather of Rs. 1.68/kWh on monthly bills during this period.
The decision regarding the 2nd Quarterly Adjustment has been communicated to the Federal Government ahead of formal notification.How to Pay MEPCO Bill Online?
Meanwhile, Nepra has conducted hearings on fuel adjustments against a backdrop of declining electricity consumption, hinting at a potential increase of Rs. 4.99 per unit for February 2024.
The hearing, held recently, highlighted a 12.2% drop in electricity demand and concerns over rising costs.
During the hearing, the CPPA highlighted the reduction in electricity demand for February.
Moreover, , the surge in solar energy adoption was considered to be a key factor that contributed to reduced electricity consumption but also to rising costs.
Nepra called for the need to balance the benefits of solar energy adoption with its impact on electricity prices.
The CPPA’s petition seeks a Rs. 4.9917 per unit increase in tariff for February 2024, with potential additional burdens exceeding Rs. 40 billion if accepted in full.
