Electricity tariffs set to surge by Rs4.66 per unit

ISLAMABAD: In what could spell more financial woes for the public, there are looming indications of yet another surge in electricity tariffs by a staggering Rs4.66 per unit.

Inside sources have revealed that the Central Power Purchasing Agency (CPPA) has formally requested the National Electric Power Regulatory Authority (NEPRA) for this significant tariff hike. The NEPRA is scheduled to deliberate on this matter during a hearing slated for December 27.

This proposed escalation, sought for the month of November under the guise of monthly fuel adjustment, comes on the heels of recent increases in electricity tariff. If approved by the NEPRA, this move is expected to impose an additional financial burden of Rs40 billion on consumers.

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The impact of such a substantial increase in electricity prices is poised to reverberate through households, affecting the general public at large. The ripple effect of this tariff hike is anticipated to strain household budgets, posing challenges for citizens already grappling with economic uncertainties.

It is worth noting, however, that consumers of K-Electric will be spared from the impending hike, providing a modicum of relief to a segment of the population. As the NEPRA gears up to make a crucial decision on December 27, the public awaits the outcome with bated breath, cognizant of the potential ramifications on their daily lives and financial stability.

It merits mentioning that despite the abnormal hike in base electricity tariff and the highly publicised anti-theft drive NEPRA has failed to control the power sector circular debt or the losses of distribution companies which have increased by 13.47 percent and 26 percent, respectively, during July to October of 2023.