- Uniform rate that will be achieved by incorporating subsidies, surcharges.
- The government can maintain a uniform end rate to the consumer for KE and soes.
- Nepera will hold a public hearing on the government’s motion for a uniform rate.
Islamabad: The federal government has asked the National Regulatory Authority of Electric Power (Nepra) to guarantee a uniform electricity rate throughout the country, including the territory of K-Electric (KE), The news He reported Monday.
This will be achieved through the incorporation of subsidies, surcharges and rationalization of rates between disc as of July 1, 2025.
The power division in its motion has referred to the tariffs for discos announced by Nepera on June 23, 2025, in which the national average rate has been reduced to RS34 per unit by 2025-26 of RS35.50 per unit of FY2024-25.
Nepra will hold a public hearing tomorrow (July 1) on the motion of the federal government for uniform tariffs throughout the country, even for the KE service territory.
The power division is the opinion that the tariff rationalization of companies between distribution is not aimed at collecting any income for the federal government, since it is within the certain income requirements of the consolidated discos in terms of section 31 (4) of the Law. Tariff rationalization allows compliance with the parameters established in the Constitution, as well as in politics.
“Once considered and approved, the same will lead to the determination of the” final uniform rate “, in terms of section 31 (7) of the law, for the notification of the federal government with effect from July 1, 2025, to the point of modification of the existing rates notified on July 14, 2024, read in accordance with previous applicable notifications issued,” said the division of energy in its motion.
According to the policy, the government can maintain a uniform rate of consumer purposes for KE and state distribution companies (even after privatization) by incorporating direct and indirect subsidies.
Consequently, the applicable uniform variable load is required to be modified to recover the income requirements of KEs determined by nepring in view of the proposed cross subsidy and subsidies, which will also be consistent with the national uniform rate proposed disco.
This has also been submitted for the approval of the federal government and, in anticipation of approval, the same is presented to the authority for consideration in terms of the provisions of the law.
The federal government has reduced subsidies for the electricity sector by 13% to RS1,036 billion for fiscal year2025-26 of RS1,190 billion for fiscal year 2010-25. The amount of subsidy for the rate differential between disc has been reduced to RS249,136 billion by 2025-26 since the assignment of RS276 billion for fiscal year 2010-25, which shows a 9.8%reduction.
The subsidy for the tariff differential to agri pipes in Baluchistan will be 4 billion in 2025-26 of RS9.5 billion in 2024-25. The amount of subsidies for the fused districts of Ancient Fata has reduced more than 38% to RS40 billion for fiscal year 2025-26 of RS65 billion for fiscal year 2014-25.
The government has also reduced the amount of subsidy for AJK by 31.5% to RS74 billion by 2025-26 of RS108 billion for fiscal year 2014-25. The amount under the Pakistan Energy Resolution Fund (PERA) will remain at RS48 billion for fiscal year2025-26 as FY2024-25. This amount is intended to pay RS5 billion every month to Chinese IPP established under the Chinese-Pakistan economic corridor (CPEC).
For KE, the amount of subsidy has been reduced by more than 28% to RS125 billion for fiscal year2025-26 of RS174 billion for fiscal year 2015, however, RS 1 billion has been assigned as a subsidy for agricultural tubes windows in Baluchistan for fiscal year 2010-26 against RS5 billion for the FY25.
After Exp oning the Background, Power Division has stated that a motion is being filed by the federal government with respect to consumer end-tariff recommendations of Under discs Under section 7 and 31 of the act read with rule 17 of the ruls, so as well Discs, by incorporating targeted subsidy and territory of ke pursuant to guidelines for the category of each of nepringe determined notified rate (including of subsidy/ tariff rationalization RELARGO/ Rationalization of disco fees).
The motion is also being presented by the Federal Government with respect to the recommendations of final rates of the KE consumer, by virtue of sections 7, 31 (4) and 31 (7) of the law read with rule 17 of the rules, to reconsider and issue the modified uniform variable position, to maintain the uniform rate throughout the country, to recover the income requirements of Ke determined by the authority, maintaining the authority of the authority. of the proposed authority and the uniform.
Consequently, the authority issued by a revised tariff schedule is requested after incorporating the rationalization of the rate that will be notified with effect of July 1, 2025, in the Official Gazette through the modification in Sro No. 575 (1)/2019 as it is modified occasionally.
The Federal Government considered the tariff schedules recommended by NEPRA for each album for all consumer categories dated June 23, 2025, and decided that, according to the policy, the uniform rate must be made applicable according to the provisions of section 31 (4) of the law.
Accordingly, The Uniform Tariff, Being Reflective of the Economic and Social Policy of the Federal Government and Based on The Consolidated Revenue Requirement Approved and Determined by The Authority For Discs (Owned and Controlled by The Federal Government), you 28, 2025, and in Anticipation of the Approval, The Same is submitted to the Authority for Consideration in Terms of Section 31 of the Act Along With The Targeted Tariff Differential Subsidy.
