ISLAMABAD – The federal government has submitted a petition to the National Electric Power Regulatory Authority (NEPRA), requesting a rise in the electricity tariff by Rs6.51 to set the base tariff for the financial year 2024-25.
Reportedly, the government aims to increase the power purchase price to Rs27.11 per unit from the current Rs20.60 per unit.
This development follows NEPRA’s approval of a Rs2.83 per unit hike in power tariff for March 20204, due to monthly fuel adjustments, last week.
According to NEPRA’s notification, the mentioned adjustment of Rs2.8372 per kWh applied to all consumer categories except Electric Vehicle Charging Stations (EVCS), lifeline consumers, and K-electric consumers.
Regarding the current proposed hike by the government, officials from the energy ministry suggest that the base tariff for the financial year 2024-25 might rise to Rs36.28 per unit from the existing base tariff of Rs29.78, which stood at Rs24.82 per unit in 2022-23 when distribution margin and prior year adjustments are factored in.
The CPPA petition states that Discos are projected to purchase 130.876 billion electricity units at the cost of Rs3.589 trillion during the next fiscal year at a Power Purchase Price (PPP) of Rs27.11 per unit and Rs3.3 trillion at a PPP of Rs25.03 per unit.
Capacity payments for the Financial Year 2024-25 are also expected to rise to Rs2.278 trillion primarily due to the addition of 1,002 megawatts from three projects in 2024.
