Nepra announces 26 paisa per unit increase in power tariff

The National Electric Power Regulatory Authority (Nepra) has recently announced an increase of 26 paisa per unit in its power tariff for consumers of nine distribution firms of Wapda from the end of this month, mainly because of monthly fuel cost adjustment.

While talking to media, a spokesperson from Nepra said that the power firms had sought a surge of 52 paisa per unit under the fuel adjustment formula for July.

However, the power regulator sanctioned a growth of 26 paisa and rejected the remaining sought due to system losses, late payments and overall circular debt.

According to Nepra’s official, “Nepra had sent its determination to the federal government for notification. The new tariff will be recovered from consumers in the next billing month. The new tariff will not apply to KESC whose fuel-based tariff adjustment will be made separately.”

After the hike in power tariff, it will see a cumulative growth of about Rs1.76 per unit in three months including May, June and July, increasing the total per unit cost to about Rs 4 per unit.

In July this year, Nepra allowed a 64 paisa per unit increase, and in June, the administration separately increased base tariff for all consumers, including KESC, by 7.6 per cent or 50 paisa per unit under an agreement with the IMF.

On an individual basis, Nepra increased 52 paisa per unit as monthly fuel cost adjustment for June.

Since March 2009, the government has increased tariff by about 80 per cent.

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