The National Electric Power Regulatory Authority (NEPRA) has approved a significant relief of Rs6.6195 per kilowatt-hour (kWh) for K-Electric (KE) consumers, to be applied under February 2025’s Fuel Charges Adjustment (FCA). The adjustment, which translates to a total relief of Rs6.664 billion, will be reflected in May 2025 electricity bills.
This negative FCA reflects reductions in global fuel prices and minor discrepancies identified by NEPRA in KE’s fuel cost submissions. Adjustments were made for electricity procured from both CPPA-G and FPCL, where slight overestimations in cost led to downward corrections.
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However, NEPRA has provisionally withheld Rs3 billion from KE’s separate claims concerning partial load operations, open cycle usage, degradation curves, and start-up costs. This decision is aligned with NEPRA’s ongoing tariff determination process for the control period starting July 2023 and aims to prevent any undue financial burden on consumers in future billing cycles.
The relief will not apply to lifeline users, protected domestic consumers, electric vehicle charging stations (EVCS), or users on prepaid tariffs. KE has been instructed to incorporate the adjustment into May 2025 bills and apply it retroactively in future bills if the current cycle is missed.
KE had requested that Rs4.5 billion from its pending Rs13.9 billion claims be offset against the negative FCA, similar to allowances made for other power distribution companies. NEPRA is currently reviewing the remainder of these claims under its multi-year tariff (MYT) process.
