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Electricity consumers in Pakistan may get temporary relief as the power tariff is expected to drop by Rs1.30 per unit for a month. The Central Power Purchasing Agency (CPPA) has requested a reduction in the monthly fuel price adjustment for December.

The CPPA’s petition will be heard tomorrow. According to the request, the estimated fuel cost per unit for December was Rs10.63, but the actual cost turned out to be Rs9.60. A total of 7.516 billion units of electricity were supplied to distribution companies (Discos) in December.

Power Generation Breakdown

The electricity generation sources for December included:

  • 22.80% from hydropower
  • 10.06% from local coal
  • 1.59% from imported coal
  • 0.03% from furnace oil
  • 12.31% from local gas
  • 20.70% from LNG
  • 26.48% from nuclear energy

Last month, the National Electric Power Regulatory Authority (NEPRA) increased electricity prices by 20 paise per unit. This hike was part of the quarterly adjustment for the first quarter of the current fiscal year. The adjustment added an extra burden of Rs1.18 billion on consumers.

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Exemptions and Relief Measures

The recent tariff increase applied only for December 2024. However, lifeline and prepaid electricity consumers were exempt. Additionally, those using extra electricity under the winter package did not face the hike.

Prime Minister Shehbaz Sharif has directed further reductions in electricity tariffs to ease the financial strain on consumers. The upcoming hearing will determine if the proposed Rs1.30 per unit reduction will be implemented.

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