Electricity consumers could see bills reduced next month

Electricity consumers small relief is expected in the coming month as the National Electric Power Regulatory Authority (NEPRA) is set to hear a petition filed by the Central Power Purchasing Agency (CPPA). The petition seeks a reduction of Rs. 1.69 per unit in power tariff under the fuel cost adjustment (FCA) for July. If approved, this adjustment will provide much-needed but limited relief to consumers in their upcoming electricity bills.

According to CPPA data, electricity generation in July stood at 14.123 billion units, out of which 13.666 billion units were supplied to distribution companies. The average cost of generation was Rs. 8.18 per unit. Hydropower remained the largest contributor with 40.13%, while LNG-based generation accounted for 17.26%, local coal 10.64%, imported coal 8.07%, gas-based generation 7.74%, and nuclear fuel nearly 9%.

The petition argues that lower fuel costs in July justify this reduction, and NEPRA’s final decision after the hearing will determine whether the proposed cut is passed on to the public. Electricity consumers small relief, though minor, may help offset rising household expenses.