Nepra clears three-month tariff hike to recover Rs8.67bn

• Increase will not impact lifeline customers.
• Hike applies to K-Electric users as well.
• Companies wanted to recover Rs10.83bn.

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) has approved a Rs0.35 per unit hike in electricity tariffs for three months, allowing power distribution companies and K-Electric to recover Rs8.67 billion from consumers between March and May under quarterly adjustments for the second quarter of FY25-26.

In a determination issued Tuesday, The News reported, Nepra authorised a uniform positive adjustment of Rs0.3504 per kilowatt-hour for all consumer categories, except lifeline users, consumers billed under the incremental consumption package and prepaid customers. The increase will also apply to KE consumers.

The regulator said the adjustment stems from variations in capacity charges, variable operations and maintenance (O&M), use of system charges, market operator fee, impact of fuel cost adjustments on transmission and distribution losses and recovery of prior-period payables on incremental units during October-December.

Ex-Wapda distribution companies (XWdiscos) had sought approval to recover Rs10.83 billion for the quarter.

While they claimed Rs24.24 billion in capacity charges, the impact was partially offset by Rs13.41 billion in negative adjustments related to O&M, system charges, market operator fees, T&D losses and incremental consumption package. After netting out those factors, Nepra trimmed the recovery to Rs8.67 billion.