Another power tariff hike looms for consumers under December FCA

• Utilities seek Nepra approval for Re0.4781 per unit.
• December reference cost Rs9.1419; actual cost Rs9.62.
• Total generation 8,487 GWh at Rs77.7 billion.

ISLAMABAD: Power consumers may face another increase in their electricity bills after utilities asked the National Electric Power Regulatory Authority (Nepra) to allow an additional Re0.4781 per unit charge, The News reported.

The utilities have sought the recovery under the monthly fuel cost adjustment (FCA) for December 2025, citing higher-than-projected generation costs. If approved, the additional amount will be collected through February bills.

In a petition filed on behalf of ex-Wapda distribution companies (XWDiscos), the Central Power Purchasing Agency (CPPA) said consumers were billed at a reference fuel cost of Rs9.1419 per unit in December, while the actual cost came in at Rs9.62 per unit, a gap it wants passed on to consumers.

According to CPPA-G data, total electricity generation during December stood at 8,487 gigawatt-hours (GWh) at a cost of Rs77.7 billion, translating into Rs9.1558 per unit. 

After factoring in transmission losses, independent power producers’ sales and prior adjustments, net electricity supplied to Discos was 8,208 GWh, costing Rs78.96 billion, or Rs9.62 per unit. This includes Re0.2628 per unit from previous adjustments.

Power generation rose 8.81% year-on-year from 7,800 GWh in December 2024, while generation cost edged up slightly from Rs9.6 per unit to Rs9.62. On a month-on-month basis, output increased 5.43% from November 2025, but generation cost jumped sharply due to a decline in cheaper hydropower and greater reliance on expensive RLNG-based plants. 

For the first time in months, nuclear power overtook hydropower as the largest energy source, contributing 2,126 GWh (25.05%) at Rs2.30 per unit. Hydropower followed with 1,534 GWh, while RLNG-based plants produced 1,464 GWh at a steep Rs20.55 per unit. 

Local and imported coal together accounted for over 22% of the energy mix, while no power was generated from residual fuel oil or high-speed diesel. Renewable sources, including wind, bagasse and solar, made up a small share.

Nepra has scheduled a public hearing on January 29 to decide the fate of the proposed increase.