After the increase in petroleum prices, there are chances of a rise in electricity prices. According to the media report, the hearing will be held tomorrow on the February monthly fuel adjustment request filed by the CPPA.
The request is likely to increase electricity prices by Rs 1.64 per unit for one month. If approved, consumers will face an additional burden of more than Rs 14 billion.
Also Read, Govt plans new power tariff system for industries
The government is preparing to introduce a new tariff system aimed at industrial consumers, as part of efforts to improve electricity use and provide greater flexibility to businesses.
According to the Power Division, a new optional multi-tariff Time of Use (ToU) system is under consideration. The proposal is designed to help industries manage their electricity consumption more efficiently while aligning power prices more closely with actual costs.
The move follows special directions from Federal Minister for Energy Sardar Awais Ahmed Khan Leghari, under which several internal consultations and technical meetings have already taken place.
Flexible pricing structure under review
Under the proposed framework, industrial consumers will have the option to shift to a multi-slab tariff structure. In this system, electricity prices will vary at different times of the day based on average marginal costs, allowing tariffs to better reflect the real cost of power generation.
The tariff will have two main components. The first is fixed charges, which will be set based on maximum demand indicators. These charges are expected to be relatively higher, encouraging consumers to reduce peak demand.
