Electricity consumers likely to face Rs1.20 per unit increase

Electricity consumers across Pakistan could face another increase in power tariffs after the Central Power Purchasing Agency (CPPA) sought a Rs1.20 per unit hike under the June 2026 Fuel Charges Adjustment (FCA).

The request has been submitted to the National Electric Power Regulatory Authority (NEPRA), which is set to hold a public hearing on July 29 before deciding whether to approve the proposed increase.

The proposed increase, if approved, will be reflected in consumers’ electricity bills for the following month. According to the CPPA’s petition, 13.431 billion units of electricity were generated during June 2026, while more than 13 billion units were supplied to power distribution companies (DISCOs).

The agency stated that the average cost of electricity generation in June was Rs 8.91 per unit, compared with the reference fuel cost of Rs 7.71 per unit. The difference has led to the request for a fuel price adjustment.

The generation mix for June 2026 was as follows: Hydropower: 39.03%, Local coal: 10.11%, Imported coal: 12.65%, Local gas: 6.45%, Imported LNG: 11.02%, Nuclear: 13.40%, Wind: 5.03%, Solar: 0.82%, Furnace oil: 0.74%.

NEPRA will decide whether to approve the proposed increase after the public hearing. If approved, the additional Rs1.20 per unit will be charged in consumers’ next monthly electricity bills.

The petition submitted by the CPPA has taken the position that, due to the increase in electricity generation costs during June, it is necessary to adjust the rates under the fuel price adjustment.

NEPRA will examine the petition in detail during the hearing, and if the increase is approved, it will be applied to the electricity bills of consumers next month.

According to the government policy guidelines, the monthly fuel price adjustment will be applied equally to electricity consumers across the country, while K-Electric consumers will also come under the scope of this adjustment.

After the hearing to be held on July 29, a final decision regarding the approval or rejection of the petition will be issued by NEPRA, after which a formal notification regarding the possible increase in electricity tariffs will also be issued.