NEPRA Approves 7-Year Tariff Plan for K-Electric at Rs 3.31 Per Unit

KARACHI: The National Electric Power Regulatory Authority (NEPRA) has officially approved a new seven-year tariff plan for K-Electric, covering the period from 2024 to 2030. The decision is aimed at regulating the company’s power distribution in Karachi while ensuring reliable and sustainable service for consumers.

As per NEPRA’s announcement, K-Electric has been granted a tariff of PKR 3.31 per unit for its distribution operations. The power utility had initially requested a higher rate of PKR 3.83 per unit, but NEPRA opted for a reduced rate after conducting a thorough assessment of the company’s financial and operational needs.

The new tariff structure is intended to strike a balance between consumer affordability and K-Electric’s capacity to maintain and improve its service delivery.

Previously, NEPRA also approved a fuel charges adjustment (FCA) increase of PKR 0.69 per unit for K-Electric consumers. According to a NEPRA statement, the FCA for July 2021, amounting to PKR 0.6890/kWh, had a total financial impact of PKR 1.355 billion, which was set to be recovered through electricity bills in November 2021.