Nepra to Cut Rs 0.30 Per Unit Electricity Rates

Staff Report :

The consumers of electricity are set to enjoy a cut in power tariff up to Rs 0.30 per unit on account of fuel charges adjustment of the month of February 2025.

 On Wednesday, NEPRA conducted a public hearing to consider the DISCOs’ request to reduce the power tariff by 30 paisa/unit under the head monthly Fuel Charges Adjustment (FCA) for February 2025.

The hearing was presided over by NEPRA Chairman and attended by relevant stakeholders. During the session, the Central Power Purchasing Agency (CPPA) requested for a reduction of Rs0.30 per unit in electricity tariffs under the FCA mechanism. However, NEPRA put off the decision and stated that the authority will issue a detailed decision after further scrutiny of the submitted data.

NEPRA noted that CPPA has consistently requested FCA reductions for the past eight consecutive months. And, if approved, the proposed reduction will be applicable to all consumer categories of DISCOs except lifeline consumers, protected customers, prepaid meter users, and electric vehicle charging stations. Furthermore, this adjustment will not apply to K-Electric consumers.

The adjustment, proposed by the CPPA on behalf of DISCOs, suggested a reduction of Rs.0.2984 per unit compared to the reference fuel charges of Rs.8.5276 per unit, as per the notified tariff.

According to data submitted by CPPA-G, a total of 6,945 GWh of electricity was generated during February, with major contributions from hydel (27.12percent), nuclear (26.59pc), RLNG (14.11%), and local coal (15.02%). Imported coal (1,56%) while renewable sources, including wind and solar, contributed 2.50% and 1.22%, respectively. The net electricity delivered to DISCOs after adjustments and transmission losses stood at 6,666 GWh at an average fuel cost of Rs.8.2292 per unit.

NEPRA had invited all interested and affected parties to submit their objections and concerns, either in writing or orally, during the hearing.