Electricity price hike likely under monthly fuel adjustment

ISLAMABAD: Electricity is likely to become more expensive for consumers across the country due to the monthly fuel adjustment.

The Central Power Purchasing Agency (CPPA) has filed a request to increase the electricity tariff by Rs 1.73 per unit for the month of August.

A hearing regarding this request is being held today at the National Electric Power Regulatory Authority (NEPRA).

Once approved by NEPRA, the hike will apply to consumers of all Distribution Companies (DISCOs), including K-Electric.

In August, a total of 14.464 billion units of electricity were supplied to DISCOs, while the average fuel cost during this period stood at Rs 8.82 per unit.

According to the data, the largest share of electricity generation in August, 37.4%, came from hydropower.

Local coal contributed 10.86%, imported coal 7.04%, and imported LNG 8.48%, while the share of generation from furnace oil was 2.15%.

In August, the cost of electricity generated from furnace oil was Rs 45.25 per unit, whereas the cost of generation from imported LNG was Rs 45.92 per unit.

NEPRA will issue a decision after reviewing the request and the provided data, at which point the final amount of the price increase for consumers will be determined.