Islamabad:
The National Electric Power Regulatory Authority (NEPRA) approved on Thursday a reduction in RS1,89 per unit in the power rate through the country under quarterly adjustment costs for April-June 2025.
The decision was sent to the federal government for implementation. The reduced rates will apply to all electricity distribution companies (Disco), including K-Electric (KE).
Reduction of prices will be applicable to a period of three months between August and October 2025 and should provide a cumulative recovery of 55.87 billion rupees to consumers. However, the NEPRA has said that the reduction in prices will not apply to prepaid and prepaid electricity consumers.
A notification Dated Aug 7 Said Nepra “Decided to Allow the Application of Instantly Adjustments on the Consumers of K-Electric As Well, with the Same Applicability Period.” According to the Instant Quarterly Adjustment of Negative RS1.8881/KWh (Per Kilowatt Hour) Shall Also K-Electric Except Life Line and Prepaid Consumers, to be Recovered in A Period of Three MONTHS [from] August 2025 to October 2025. “
This decision follows the requests of distribution companies for a downward revision of prices in the context of quarterly adjustment. The Nepra led a public hearing on the issue on August 4.
Quarterly tariff adjustments are used to reconcile the costs linked to the production costs of electricity and capacity, separated from the monthly adjustments of fuel prices.
Meanwhile, the NEPRA also informed a negative adjustment of the cost of fuel (FCA) of RS0.78 per unit for consumers of all discos, with the exception of KE in their invoices for August.
According to a distinct notification of the NEPRA dated August 7, the authority decided on an FCA of RS0,78 for the month of June 2025 on the basis of variations in fuel costs in the approved rates of the discos.
The NEPRA has decided that the FCA “applies to all categories of consumers, with the exception of consumers of the lifeline, protected consumers, charging stations of electric vehicles (EVC) and prepaid electricity consumers of all categories that have opted for prepaid prices,” said the notification.
The notification indicated that the discotheques would reflect the FCA of June during the invoicing month of August 2025, which would be shown separately on consumer bills on the basis of the units which are invoiced to them in June.
“In the event that invoices of August 2025 are issued before the notification of this decision, the same can be applied in [the] Next month, “added the Nepra.
“While carrying out the adjustment of fuel charges, the Xwiscos concerned must keep in sight and strictly in accordance with the orders of the courts, despite this order.”
In Another Notification, Nepra Repliced to a Request from the Central Power Purchasing Agency (CPPA-G) Seeking a Monthly FCA for June, Finding that based on the information provided, the Actual Pool Fuel cost was rs.7.68 per kilowatt hour (kwh) Against the Reference Fuel Cost Component of Rs.8.3341 PER KWH
“Real fuel costs, as the CPPA claim, for June 2025, decreased from RS.0.65 per kWh compared to reference fuel costs,” the notification said.