ISLAMABAD:
Electricity consumers are likely to get a relief of Rs1.6911 per unit on account of fuel charges adjustment (FCA) for July 2025, subject to approval by the National Electric Power Regulatory Authority (NEPRA).
NEPRA has scheduled a public hearing on August 28, 2025, to review the Central Power Purchasing Agency Guarantee Limited’s (CPPA-G) request for a downward revision in FCA for ex-WAPDA distribution companies.
According to data submitted by CPPA-G, the actual fuel costs during July were lower than the reference charges approved earlier. The agency has sought a reduction of Rs1.6911 per unit from the reference fuel charge of Rs9.8758 per unit. If approved, the move will provide significant relief to electricity consumers of ex-WAPDA distribution companies in their upcoming billing cycles.
During July, total electricity generation stood at 14,123 gigawatt-hours. Hydropower was the largest contributor, accounting for 40% of the energy mix. Local coal contributed 11% while imported coal added nearly 15%. Gas-based generation stood at 8%, regasified liquefied natural gas (RLNG) at 13%, and nuclear power provided more than 17%. Renewable energy also played a role, with wind contributing over 4% and solar just under 1%. Imports from Iran made up 0.25% of the total supply. After adjusting for transmission losses of nearly 3%, the net energy delivered to distribution companies was recorded at 13,666 gigawatt-hours.
Meanwhile, the Ministry of Energy has issued new policy guidelines following approval by the Economic Coordination Committee (ECC) on August 19, 2025. NEPRA has been directed to ensure uniform application of FCA across the country. This means that the FCA determined for ex-WAPDA distribution companies will also apply to K-Electric consumers through tariff rationalisation.
Under the guidelines, the same rate and application period must be enforced for both K-Electric and other distribution companies. Any difference between the monthly FCA determined for K-Electric and the notified rate will be adjusted either through subsidy or cross-subsidy. The uniform FCA application policy has been effective since June 2025 and was charged in consumer bills for August 2025.
NEPRA has invited all stakeholders and affected parties to participate in the hearing and submit written or oral objections as allowed under law. Relevant documents, including the CPPA-G request, the Ministry of Energy’s letter, and past NEPRA determinations, have been made available on the authority’s official website.
The regulator’s upcoming decision will determine whether electricity consumers receive relief in their July bills, offering much-needed respite at a time of persistently high energy costs.