Consumers may face an increase in their electricity bills, as the Central Power Purchasing Agency (CPPA) has requested a tariff hike of Rs. 1.25 per unit from the National Electric Power Regulatory Authority (NEPRA).
The request pertains to the monthly fuel price adjustment (FPA) for the month of April.
According to the CPPA’s application, a total of 10.513 billion units of electricity were generated during April, out of which 10.196 billion units were delivered to distribution companies. The reference cost for fuel was Rs. 7.68 per unit, while the actual cost incurred rose to Rs. 8.94 per unit, creating a gap that the CPPA now seeks to recover from consumers.
NEPRA has scheduled a public hearing on the request for May 29, during which the authority will review the figures and decide whether to approve the proposed increase.
The application also details the electricity generation mix for April. Around 21.94% of the power was generated through hydropower, 14.51% from local coal, 10.02% from imported coal, and 0.97% from furnace oil. Local gas contributed 8.01%, while imported LNG made up a significant 20.52% of the generation. Additionally, 17.91% of the electricity was produced using nuclear fuel.
The rising dependency on imported fuel sources, particularly LNG, has contributed to the increase in generation costs, ultimately impacting consumer tariffs.
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