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Electricity price to go up as NEPRA approves hike of Rs1.53 per unit

The National Electric Power Regulatory Authority (NEPRA) has notified Rs1.53 per unit increase in power tariff for ex-Wapda Distribution Companies (DISCOs) to generate about Rs11 billion additional revenue.

The increase was allowed on account of monthly fuel cost adjustment (FCA) for electricity consumed in December 2020 and would be charged in the billing month of February 2021 from all consumers except lifeline consumers i.e. those with consumption of up to 50 units.It may be noted that the Central Power Purchasing Agency (CPPA) had requested NEPRA for an FCA of Rs1.8085/kWh to generate Rs13.6 billion revenue. A hearing in this regard was held on January 27, 2021, wherein an FCA of Rs1.5359/kWh was approved.

As per details, the actual fuel charge component for December 2020 was Rs5.9961 per unit against the reference fuel charge component of Rs4.4602 per unit. The decision for tariff hike was made after taking into account fuel price variation for the month of December.


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