Thursday Jul 07 2022

Despite prolonged power cuts, NEPRA approves another electricity price hike for Karachi

A man installing K-Electric metre . Photo— AFP/File
A man installing K-Electric metre . Photo— AFP/File

  • Price has been increased on account of FCA for May.
  • Rs9.52 increase will put a burden of over Rs22b on consumers.
  • Amount to be recovered from electricity bills of July and August.

ISLAMABAD: The National Electric Power Regulatory Authority (NEPRA) Thursday notified an increase in the power tariff by Rs9.5180 per unit on account of fuel charges adjustment (FCA) for May 2022 amid worsening power outages across the country.

The FCA for May 2022 will be charged with the bill for July and August 2022, which will be paid by all consumer categories except lifeline consumers.

The Rs5.28 increase will put a burden of over Rs22 billion on consumers, including GST.

“The said adjustment shall be shown separately in the consumers’ bills based on units billed in the month of July and August 2022 by K-Electric,” the notification mentioned.

The regulatory authority clarified that out of a total FCA of Rs9.5180 per kWh, an amount of Rs2.6322 per kWH shall be charged in the billing month of July and Rs6.8860 per kWh in the billing month of August.

It is worth mentioning that in June, the regulatory body raised the basic power tariff by Rs7.9078/kWh for the next fiscal year 2022-23 increasing the burden of inflation on the people of Pakistan.

The decision had been taken in line with the International Monetary Fund’s (IMF) demands and the power distribution companies’ requests. Currently, the basic power tariff is Rs16.91 per unit and with an increase of Rs7.9078 per unit, it will be more than Rs24 per unit.