CPPA Seeks Rs0.82/Unit Power Tariff Hike, Burdening Consumers by Rs12 Billion

Date:

Islamabad, Pakistan – Web Desk: In a development that spells further financial strain for electricity consumers, the Central Power Purchasing Agency (CPPA) has formally requested the National Electric Power Regulatory Authority (NEPRA) to increase the per-unit tariff by Rs0.82, which would impose an additional burden of Rs12 billion on consumers across the country .

The CPPA submitted the request under the monthly fuel price adjustment mechanism for May, citing an average fuel cost of Rs9.25 per unit during the month . The CPPA, responsible for purchasing electricity from power plants on behalf of distribution companies (DISCOs), has justified the increase based on higher fuel costs incurred during the period .

NEPRA will conduct a formal hearing on June 30 to review the request. A technical evaluation will determine whether the tariff increase is justified or if the current rates should be maintained .

Consumer Impact

If approved, the tariff hike will add approximately Rs12 billion to the overall power sector’s financial burden, directly affecting households and businesses already grappling with high electricity costs . The additional cost comes as Pakistan’s power sector continues to struggle with circular debt and rising capacity payments .

The CPPA has indicated that fuel costs are expected to remain generally stable, though the agency has also warned of a potential 5% increase in global prices in a worst-case scenario . The government has been under pressure from the International Monetary Fund (IMF) to rationalize energy tariffs and reduce subsidies .

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Share post:

Subscribe

spot_imgspot_img

Popular

More like this
Related

German World Cup Camp Alerted After Venomous Snake Sighting

Winston-Salem, United States – Web Desk: A venomous snake...

Pakistan Facilitates Return of 30 Iranian Nationals

Islamabad, Pakistan – Web Desk: Pakistan is facilitating the...

China Announces Humanitarian Aid for Iran and Lebanon

Beijing, China – Web Desk: China has announced humanitarian...

Meloni and Modi ‘Instagram Couple’ Moment Goes Viral at G7

Paris, France – Web Desk: At the G7 Summit...