Electricity prices may go up again

Islamabad:  The electricity prices may go up again as National Electric Power Regulatory Authority (NEPRA) is ready to hear the plea of CPPA regarding increase of Rs5 per unit in the base tariff, the sources close to the development said on Wednesday.

The electricity consumers would be burdened with over Rs310bln if the NEPRA allowed the CPPA’s plea for the increase in the tariff.

The increase will be for the base tariff for the FY2024-25.

The sources said that the power purchase prices have been established from Rs25.03 to Rs27.11 per unit.

“Over Rs3 trillion could be the burden on the electricity consumers if the demand is approved,” said the sources.

However, there is no respite in hike in the circular debt as it continued to rise despite the massive increase in power tariffs and fuel adjustments.

The circular debt of Pakistan’s power sector soared to Rs 2,635 billion till January 2024.

The circular debt increase was recorded at Rs2,310 billion till June 2023, showing an increase of Rs325 billion during the seven months (January 24).

Earlier, the reports emerged that the electricity consumers could face more burden as the authorities were working to increase per unit tariff by Rs3.49 on the grounds of fuel adjustment charges for the month of April.

The demand for increase of Rs3.49 per unit was made  by the CPPA to NEPRA for the sake of the power distribution companies (DISCOs).