Electricity Prices Expected to Drop Further in Pakistan
ISLAMABAD: In a move to provide relief to consumers, the federal government has decided to refund excess electricity payments, potentially leading to a reduction in electricity bills, ARY News reported.
Fuel Price Adjustment and Expected Rate Cut
- The Central Power Purchasing Agency (CPPA) has requested a monthly fuel price adjustment for February.
- In February, Pakistan generated 6.49 billion units of electricity and supplied 6.66 billion units to power companies.
- The cost of electricity per unit was Rs 8.22, while the reference cost was Rs 8.52 per unit.
- If approved by the National Electric Power Regulatory Authority (NEPRA) on March 26, consumers could see a 30-paisa per unit reduction in electricity bills.
Breakdown of Electricity Generation (February 2025)
- Hydropower – 27.12%
- Local Coal – 15.02%
- Imported Coal – 1.56%
- Gas – 10.32%
- LNG – 14.11%
- Nuclear Fuel – 26.59%
K-Electric Seeks Additional Tariff Cut
- On March 12, K-Electric (KE) also filed a request with NEPRA to reduce electricity rates by Rs 4.84 per unit.
- The proposal follows higher per-unit charges in January 2025, and KE plans to refund Rs 4.84 billion to consumers under the monthly fuel charges adjustment (FCA).
- NEPRA has scheduled a public hearing on March 20 to review KE’s request.
These developments suggest that electricity prices could decrease further, providing much-needed relief to consumers facing high energy costs.
