Islamabad:
It is likely that electricity consumers obtain a relief from RS1.6911 per unit on account of fuel position adjustment (FCA) by July 2025, subject to the approval of the National Regulatory Authority of Electric Power (Nepra).
NEPRA has scheduled a public hearing on August 28, 2025, to review the application of the Power Central Garanten Limited (CPPA-G) Purchase agency of a downward review in FCA for EX-WAPDA distribution companies.
According to the data presented by CPPA-G, the actual fuel costs during July were lower than the reference charges approved above. The agency has sought a reduction of RS1.6911 per unit of the reference fuel load of RS9.8758 per unit. If approved, the measure will provide significant relief to electricity consumers of ex Wapda distribution companies in their next billing cycles.
During July, the total generation of electricity stood at 14,123 Gigavatios-Hora. Hydroelectric energy was the largest taxpayer, which represents 40% of the energy combination. Local coal contributed 11%, while imported coal added almost 15%. Gas -based generation was 8%, regular liquefied natural gas (RLNG) with 13%, and nuclear energy provided more than 17%. Renewable energy also played a role, with a wind that contributed to more than 4% and solar energy less than 1%. Irán imports represented 0.25% of the total supply. After adjusting the transmission losses of almost 3%, the net energy delivered to the distribution companies was recorded at 13,666 hours of gigawatts.
Meanwhile, the Ministry of Energy has issued new policy guidelines after the approval of the Economic Coordination Committee (ECC) on August 19, 2025. NEPRA has been aimed at guaranteeing the uniform application of FCA throughout the country. This means that the FCA determined for EX-WAPDA distribution companies will also apply to K-Electric consumers through tariff rationalization.
According to the guidelines, the same rate and application period for K-Electric and other distribution companies must be applied. Any difference between the monthly FCA determined for K-Electric and the notified rate will be adjusted through the subsidy or the cross subsidy. The uniform FCA application policy has been effective since June 2025 and was charged to consumption invoices by August 2025.
Nepra has invited all interested parties and affected parties to participate in the audience and present written or oral objections as allowed by law. The relevant documents, including the CPPA-G application, the Charter of the Ministry of Energy and the previous Nepra determinations, have been made available to the official website of the authority.
The next decision of the regulator will determine whether electricity consumers receive relief in their July invoices, offering a very necessary respite at a time of persistently high energy costs.
