Proposed Tariff Adjustment
The Central Power Purchasing Agency (CPPA-G) has formally petitioned the National Electric Power Regulatory Authority (NEPRA) seeking a positive Fuel Cost Adjustment (FCA) of Rs1.20 per unit for electricity generated in June 2026. If authorized, the revised charge will be passed on to power consumers in their August 2026 electricity bills.
Key Drivers Behind the Cost Increase
The primary driver behind the higher generation cost is the escalation in imported fuel prices, particularly Re-Gasified Liquefied Natural Gas (RLNG). RLNG prices reached approximately Rs35 per unit, up from Rs16 per unit in June 2025. As a result, the actual fuel generation cost for June 2026 stood between Rs8.90 and Rs8.91 per unit, exceeding the benchmark reference fuel cost of Rs7.714 per unit.
Financial Impact Across Pakistan
The requested adjustment affects electricity consumers nationwide, including those serviced by ex-WAPDA Distribution Companies (DISCOs) and K-Electric. If approved by NEPRA, the price increase will place an estimated total financial burden of Rs15.7 billion to Rs18 billion on consumers.
Public Hearing and Next Steps
The proposed hike remains pending NEPRA's review and final determination. The regulatory body has scheduled a public hearing on July 29, 2026, to assess the petition. Electricity consumers and stakeholders can review NEPRA's official hearing notice and participate in or monitor the hearing before the final tariff decision for August billing is determined.