Electricity prices likely to rise as Nepra reviews 2026 power rates

Pakistani households and businesses may face higher electricity costs next year as the country’s power regulator begins reviewing a proposal to raise the national power purchase price. The review, initiated on Tuesday, could have a broad impact on energy bills across the country.

The Central Power Purchasing Agency has suggested setting the national power purchase price for the fiscal year 2026 between Rs25.69 and Rs26.69 per unit. This figure will act as a benchmark for tariffs charged to consumers, prompting warnings from industry groups about the potential strain on both households and businesses.

Nepra Chairman Wasim Mukhtar oversaw the public hearing, during which the CPPA explained that its calculations were based on projected electricity demand, fluctuating fuel prices, and the US dollar exchange rate.

However, Nepra member Rafiq Ahmed Sheikh raised concerns over the submission, describing it as incomplete and questioning the reliability of the underlying data. The regulator said it would seek input from industry stakeholders before making any final decision.

Business representatives expressed worries about the impact on economic growth. Rehan Javed from the Federation of Pakistan Chambers of Commerce and Industry said the proposed prices suggest electricity is unlikely to become more affordable, noting that high energy costs continue to challenge industrial competitiveness.

Tanveer Bari of the Karachi Chamber of Commerce and Industry highlighted the exchange rate as a critical factor, urging regulators to avoid inflating assumptions, as a weaker rupee can sharply raise generation costs.

Nepra will continue examining the CPPA’s proposal in the coming weeks, with a final decision on the 2026 power purchase price expected later this year.

NEPRA to consider minor 65 paisa cut in electricity prices for October

For now, electricity prices in Pakistan may offer some relief to consumers as the monthly fuel cost adjustment is expected to bring them down.

The Central Power Purchasing Agency has asked the National Electric Power Regulatory Authority to reduce electricity rates by 65 paisa per unit, reflecting October’s fuel costs.

This adjustment would affect consumers across the country, including Karachi, and follows a similar reduction of 48 paisa per unit in September. NEPRA is scheduled to review the request on November 27 before finalising any changes.