The government is reportedly preparing to increase electricity prices for one month, adding to the burden on consumers already struggling with heavy bills. A hike of 48 paisa per unit is expected, which could directly impact household and commercial electricity bills.
The National Electric Power Regulatory Authority has completed a hearing on a request seeking an increase in electricity prices. The authority said its final decision will be announced after reviewing the relevant data and figures.
The request was submitted by the Central Power Purchasing Agency under the fuel price adjustment mechanism. Officials explained that expensive imported gas and coal-based power plants were used in December to meet electricity demand.
Read more: Rupee’s upward trend continues against dollar as currency market calms
CPPA officials said the increase is linked to the government’s incremental package. Earlier, it was stated that running high-cost power plants would be unavoidable under this package.
During the hearing, a Nepra member remarked that CPPA had earlier claimed this situation would not arise and that any difference would be adjusted through quarterly adjustments.
In response, CPPA officials said the incremental package also brought benefits. They claimed that 44 percent of industrial consumers and 39 percent of agricultural consumers benefited from the scheme.
Nepra members also pointed out that solarization has reduced daytime electricity demand. They suggested introducing a package to boost daytime power generation. CPPA officials said work is underway and a request will soon be submitted to the regulator.
Nepra further noted that the Power Division has not yet submitted a written response on the State of Industry report.
After hearing all arguments, Nepra reserved its decision on CPPA’s request for an electricity price increase.
Electricity prices remain uncertain for consumers. Even small increases can affect household budgets. Fuel costs and power planning are key issues. Many consumers may feel further pressure if the hike is approved.