The Central Power Purchasing Agency (CPPA) has proposed a reduction in electricity tariffs by Rs1.04 per unit under the December fuel price adjustment. The proposal, submitted to the National Electric Power Regulatory Authority (NEPRA), aims to pass on the benefits of reduced reliance on imported fuel to consumers.
If approved, this reduction will provide significant financial relief to consumers of distribution companies (DISCOs), amounting to approximately Rs3.90 billion. The adjustment is expected to be reflected in electricity bills issued in February. NEPRA is set to review the proposal during a hearing scheduled for January 30.
The CPPA’s initiative highlights the importance of utilizing domestic energy resources to lower costs. By reducing dependency on power plants reliant on expensive imported fuel, the agency has taken a step toward making electricity more affordable for the public.
Federal Minister Rana Tanveer Hussain also expressed optimism about further reductions in electricity tariffs. Speaking at the Lahore Chamber of Commerce and Industry, he praised Prime Minister Shehbaz Sharif’s administration for implementing impactful energy sector reforms, stating that initiatives typically requiring years to complete were achieved in a much shorter timeframe. He criticized the previous government, led by Pakistan Tehreek-e-Insaf (PTI), for policies he claimed had damaged the economy. The minister assured the public of the government’s commitment to steering the country toward economic stability and prosperity.
The final decision on the proposed reduction now rests with NEPRA, which will carefully evaluate the application and supporting data. If approved, this adjustment could offer much-needed relief to electricity consumers across the country.
