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Electricity Prices May Increase by Rs0.48 per Unit

Gravatar Avatar Web Desk | 3 months ago
Electricity price hike

Power consumers in Pakistan may face a rise in electricity bills due to a proposed fuel cost adjustment (FCA) for December 2025. The Central Power Purchasing Agency (CPPA-G) has filed a petition with NEPRA to approve this adjustment. If granted, electricity tariffs could increase by Rs0.48 per unit for one month.

The proposed adjustment could add nearly Rs4 billion to the electricity costs of consumers under K-Electric and distribution companies (DISCOs). The National Electric Power Regulatory Authority (NEPRA) will review the petition in a public hearing scheduled for January 29. They will decide if the increase should be passed on to consumers.

The adjustment is due to higher actual fuel costs in comparison to the reference fuel price set for December. According to CPPA-G, the reference fuel cost was Rs9.1419 per unit, while the actual fuel cost rose to Rs9.6200 per unit. This discrepancy led to the proposed increase of Rs0.4781 per unit.

In December 2025, total electricity generation stood at 8,487 gigawatt-hours (GWh). After accounting for losses, 8,208 GWh was supplied to DISCOs. Transmission losses amounted to 259 GWh, or 3.05% of the total electricity generated.

Read more : NEPRA Cuts Electricity Price by 93 Paisas Per Unit

The power generation mix for December showed that nuclear energy was the largest contributor, generating 2,126 GWh, or 25.05%. Hydel power followed with 1,534 GWh, while RLNG-based plants produced 1,464 GWh. Local coal-fired plants generated 1,187 GWh, and imported coal-based plants contributed 860 GWh.

The highest cost of power generation came from RLNG-based plants, costing Rs20.5457 per unit. Iran’s electricity imports were the second most expensive at Rs21.9685 per unit. Nuclear power was the cheapest source at Rs2.3009 per unit. Overall, the total fuel cost for electricity generation in December reached Rs77.706 billion.

If NEPRA approves the proposed adjustment, consumers may face higher electricity bills, adding to existing inflationary pressures. The adjustment will affect both K-Electric and DISCO customers. NEPRA’s final decision will be made after the public hearing later this month.

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