By Staff Reporter
ISLAMABAD: National Electric Power Regulatory Authority (Nepra) has rolled out substantial fuel cost reductions for electricity consumers, delivering a financial breather in the July billing cycle for customers of K-Electric (KE) and ex-Wapda distribution companies (Discos).
For K-Electric consumers, Nepra has greenlit a negative fuel cost adjustment (FCA) of Rs4.03 per unit, tied to power consumed in April. This cut will show up in July’s bills, easing the burden for most users. In its notification, Nepra stated it “decided to allow a negative FCA of Rs4.0349/kWh for April 2025, to be passed on to the consumers in the billing month of July 2025.”
The relief, however, isn’t universal. Nepra specified that the adjustment skips certain groups, including “lifeline consumers, domestic protected consumers, Electric Vehicle Charging Stations (EVCS), and prepaid electricity consumers of all categories who opted for pre-paid tariff.” The authority added that the adjustment would be “shown separately in the consumers’ bills on the basis of units billed to the consumers in the respective month to which the adjustment pertains.”
The Rs4.03 per unit reduction is provisional. Nepra noted that it’s “being allowed on a provisional basis subject to adjustment” until the authority finalises KE’s Multi-Year Tariff (MYT) for fiscal years 2024 to 2030. “The difference in cost, if any, based on the MYT FY 2024-30 would be allowed in future adjustments once the same is notified,” the notification said.
For any July bills issued before this decision, Nepra advised that the adjustment “may be applied in the subsequent month.” KE is directed to reflect the April fuel charges adjustment in the July billing cycle.
Separately, Nepra approved a smaller negative FCA of Rs0.49 per unit for Disco consumers, based on fuel charge variations from May. This, too, will hit July bills. The authority “has reviewed and assessed a National Average Uniform decrease of Rs.0.4952/kWh in the applicable tariff for Discos on account of variations in the fuel charges for May,” according to a second notification.
Like the KE adjustment, this reduction bypasses “lifeline consumers, protected consumers, EVCS, and pre-paid electricity consumers of all categories who opted for prepaid tariffs.” The notification instructed that “Discos shall reflect the fuel charges adjustment in respect of May 2025 in the billing month of July 2025,” with the amount “shown separately in the consumers’ bills based on units utilised in May.” If July bills are already out, the adjustment can carry over to the next month.
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