K-Electric has approached the National Electric Power Regulatory Authority (NEPRA) with a petition seeking a Rs4.69 per unit reduction in electricity tariffs under the monthly fuel cost adjustment framework.
NEPRA is scheduled to conduct a hearing on the petition on June 19. If approved, this reduction would translate into a collective relief of Rs7.17 billion for consumers in Karachi, which will be reflected in their upcoming electricity bills.
Read more: NEPRA Reduces Electricity Rate by Rs2.98 for K-Electric Users
In contrast, the federal government is considering the introduction of additional surcharges on power bills, which could counteract any benefit from the proposed tariff cut. This move comes in the wake of the newly presented 2025–26 budget, where plans are underway to increase financial pressure on electricity users.
One of the key proposals includes removing the 10% cap on electricity surcharges and amending the NEPRA Act to legally empower the government to raise surcharges as needed. This change would allow surcharges to be imposed based on specific fiscal requirements and time frames.
Currently, a surcharge of up to Rs3.23 per unit is being considered, though a final decision is still pending. If implemented, this would give the government broader authority to use electricity bills as a tool for managing budgetary demands, adding to inflation and consumer strain.
Historically, such surcharges have been used to pay interest on the circular debt accumulated in the energy sector.