ISLAMABAD:
Electricity consumers are likely to face an increase of up to Rs 0.82 per unit under the monthly fuel cost adjustment (FCA) by May 2026, as the National Electric Power Regulatory Authority (NEPRA) held a public hearing on the proposed tariff revision on Tuesday.
During the hearing, it was revealed that the actual fuel cost was Rs 9.2488 per unit against the reference fuel cost of Rs 8.4315 per unit, resulting in a proposed increase of Rs 0.8173 per unit.
The Central Power Purchasing Agency (CPPA) has requested the increase, according to NEPRA officials.
Officials informed the hearing that the proposed adjustment would impose an additional burden of around Rs 10 billion on electricity consumers. They added that during May 2026, a total of 12.33 billion units of electricity were sold.
CPPA officials said at the hearing that overall electricity consumption in May decreased 4.6 percent.
They claimed that electricity consumption also fell by around one percent due to the early closure of markets under austerity measures introduced after the Iran-US war.
NEPRA members questioned the reasons behind the decline in electricity demand and asked whether the reduction was related to load management (load shedding).
CPPA officials responded that the lower demand was partly due to the Eid holidays and comparatively lower temperatures during May.
According to the National Power Control Center (NPCC), the maximum electricity generation during May reached 23,333MW.
NEPRA also questioned why electricity demand had declined despite the government’s incremental package for the agricultural and industrial sectors.
CPPA officials attributed part of the decline to increased daytime solarization, saying demand for electricity from the grid had fallen as more consumers relied on solar power during daylight hours.
Additionally, they reported at the hearing that LNG supplies had been restored by the end of April 2026. However, they said that the cost of fuel for power generation had increased due to the war between Iran and the United States. According to officials, the peak electricity demand in June was 26,000 MW.
Jamaat-e-Islami rejected the proposal to increase electricity prices during the hearing.
Their representative Imran Shahid said they rejected the proposed increase of Rs 0.82 per unit.
The interveners argued that the public should not be forced to bear the cost of poor governance. They noted that the Neelum-Jhelum low-cost hydropower project remained non-operational.
They also said severe load shedding continued across the country and criticized the government for failing to develop an adequate transmission system capable of delivering cheaper electricity.
Imran Shahid further said that the people of Karachi should not suffer due to the inefficiency of K-Electric.
Rehan Javed, representing Federation of Pakistan Chambers of Commerce and Industry (FPCCI), questioned why electricity demand is not increasing despite availability of low-cost industrial power package.
“Textile industries are closing, highlighting the worsening situation in the manufacturing sector,” he said.
He also argued that the financial burden of incremental packages should not be shifted to other categories of consumers.
