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Electricity unit cost surge to an all-time high in Pakistan

11:43 AM | 30 Jul, 2022
Electricity unit cost surge to an all-time high in Pakistan

ISLAMABAD – The electricity unit price in Pakistan has surged to an all-time high level of Rs. 14.7/kWh mainly in June due to the high fuel prices in the international markets which staggeringly pushed up the generation cost of the power utilities.

The per cost unit prices of electricity stood at 5.65 /kWh in the same month of the last year showing an increase of 160% year-on-year, according to data released by the National Electric Power Regulatory Authority (NEPRA).

The cost of input increased for the generation of electricity in Pakistan on account of RLNG, furnace oil, natural gas, and other sources such as hydel and nuclear. The power-producing companies generate electricity from various fuels or sources which cumulatively constitute the unit price of electricity for the consumers.

According to details, the RLNG-based cost of generation also increased by 168% year-on-year in June 2022 to stand at Rs. 28.4/KWh with the consistent rise in RLNG prices which reached the level of Rs. 4,254/mmbtu (USD 20.8/mmbtu).

The coal-based cost of generation went up by 156% year-on-year to stand at 20.8/KWh during June 2022 due to a 274% rise in international coal prices. The furnace oil-based cost of generation went up by 149% year-on-year to stand at Rs. 36.2/KWh.

The natural gas-based cost of generation also went up by 9% year-on-year in the same month to stand at Rs. 8.9/KWh.

The nuclear-based generation declined by 22% year-on-year by end of June 2022 to stand at respectively to stand at Rs. 1.1/ KWh.

Pakistan’s Power Generation Goes Up by 10% in FY22

Pakistan’s power generation went up by 10.0% year-on-year to 143,193 GWh or 16,346 MW during the closing financial year 2021-2022 compared to 130,223 GWh or 14,866 MW reported during FY21. 
The rise in a generation was on the back of higher generation from HSD, FO, Nuclear, Wind, Bagasse, Solar, and gas. 

Major contributors during FY22 were Hydel with a share of 25%; RLNG with a share of 19%; Coal with 19%; Nuclear with 13%; Gas with 10%; FO with 9%; Wind with 3%; HSD with 1%; Bagasse with 1%; and Solar with a share of 1%.

FO-based power generation increased by 110% YoY. HSD, Nuclear, Wind, Bagasse, Solar, and Gas-based generation also increased by 178%, 68%, 58%, 16%, 10% and 3% YoY respectively. However, coal and Hydel-based generation dipped by 4% and 8% YoY, respectively.

The rise in Nuclear-based generation was due to the addition of the Karachi Nuclear Power Plant (Unit-2 and Unit-3) to the system.

During FY22, fuel cost for power generation increased by 93% YoY to an average of PKR 9.34/KWh compared to an average cost of PKR 4.83/KWh during FY21.

The high cost of electricity is one of the factors for fueling inflation across the country in addition to petroleum prices, which also went skyrocketing in the domestic markets following the trend of the prices of the international markets.

Measures to Avoid High Electricity Bills

As a significant population of the country brought changes in their lifestyle to reduce the commuting expenses in their daily life through carpooling and public buses, they should also curtail the use of electricity at home, offices, markets, etc.

In this regard, the use of daylight is best to reduce the utility of electricity at work mainly in shopping places and markets. Factories and offices should also be closed down till 6.00 pm in order to save the extra burden of electricity bills.

In this connection, the provincial governments took various measures in the past which should be implemented truly in collaboration with the private sector.

Unnecessary lights, including illuminations and decoration of buildings and houses, could be avoided mainly at weddings and parties.  Alternatively, public functions and gatherings can be organized in the afternoon timings to save extra use of lights.

Most importantly, the public should also avoid using various appliances during peak hours from 6 to 11 pm a day particularly AC, water sucking pumps, iron, and washing machines.

Besides, the use of electricity-efficient appliances can be a smart strategy to consume less electricity at home, offices, industries, and commercial spaces including food streets while avoiding high monthly bills.

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Rupee recovers marginally against US dollar, Euro, Pound, Dirham and Riyal; check forex rates

Pakistani rupee saw marginal improvement against US dollar as it appreciated in the open bank market.

Dollar Rate in Pakistan Today

On Thursday, the US dollar moved up and was being quoted at 285.3 for buying and 288.15 for selling.

Euro moves down to 311 for buying and 314 for selling. British Pound rate stands at 358.5 for buying, and 361.5 for selling.

UAE Dirham AED stands at 78 whereas the Saudi Riyal rate stands at 76.20.

Today's currency exchange rates in Pakistan - 30 November 2023

Currency Symbol Buying Selling
US Dollar ‎USD 285.3 288.15
Euro EUR 311 314
UK Pound Sterling GBP 358.5 361.5
U.A.E Dirham AED 78 78.7
Saudi Riyal SAR 76.2 77
Australian Dollar AUD 187.2 189
Bahrain Dinar BHD 759.67 767.67
Canadian Dollar CAD 209 211
China Yuan CNY 39.58 39.98
Danish Krone DKK 41.38 41.78
Hong Kong Dollar HKD 36.63 36.98
Indian Rupee INR 3.39 3.5
Japanese Yen JPY 1.49 1.56
Kuwaiti Dinar KWD 926.7 935.7
Malaysian Ringgit MYR 60.38 60.98
New Zealand Dollar NZD 173.44 175.44
Norwegians Krone NOK 26.25 26.55
Omani Riyal OMR 741.26 749.26
Qatari Riyal ‎QAR 77.63 78.33
Singapore Dollar SGD 211 213
Swedish Korona SEK 26.93 27.23
Swiss Franc CHF 325.9 328.4
Thai Bhat THB 8.23 8.38

Gold rates in Pakistan increase; Check today’s gold rates 30 November 2023

KARACHI – The gold price continues to climb up in the local market in line of upward trend in international market.

Gold Rates in Pakistan Today - 30 November 2023

On Thursday, the single tola of 24 Karat gold was available at Rs218,600, and the price for 10-gram gold reached Rs187,420.

Meanwhile, the 22 Karat Gold price stands at Rs200,380, 21 karat rate for each tola is Rs191,275 and 18k gold rate hoveres around Rs163,950.

In international market, the price of precious metal hovers around $2,045 per ounce.

Today Gold Rate in Pakistan

City Gold Silver
Lahore PKR 218,600 PKR 2,675
Karachi PKR 218,600 PKR 2,675
Islamabad PKR 218,600 PKR 2,675
Peshawar PKR 218,600 PKR 2,675
Quetta PKR 218,600 PKR 2,675
Sialkot PKR 218,600 PKR 2,675
Attock PKR 218,600 PKR 2,675
Gujranwala PKR 218,600 PKR 2,675
Jehlum PKR 218,600 PKR 2,675
Multan PKR 218,600 PKR 2,675
Bahawalpur PKR 218,600 PKR 2,675
Gujrat PKR 218,600 PKR 2,675
Nawabshah PKR 218,600 PKR 2,675
Chakwal PKR 218,600 PKR 2,675
Hyderabad PKR 218,600 PKR 2,675
Nowshehra PKR 218,600 PKR 2,675
Sargodha PKR 218,600 PKR 2,675
Faisalabad PKR 218,600 PKR 2,675
Mirpur PKR 218,600 PKR 2,675

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