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Nepra approves Rs1.63/unit hike in March bills on Jan fuel costs

March 05, 2026
The National Electric Power Regulatory Authority (Nepra) headquarters can be seen in this undated photo. — Facebook/@NEPRA/File
The National Electric Power Regulatory Authority (Nepra) headquarters can be seen in this undated photo. — Facebook/@NEPRA/File

ISLAMABAD: The National Electric Power Regulatory Authority (Nepra) on Wednesday allowed power distribution companies, including K-Electric, to charge consumers an additional Rs1.627 per unit in March bills under the monthly fuel cost adjustment (FCA) for January 2026.

The increase will apply to all consumer categories of KE and ex-Wapda distribution companies, except lifeline users, electric vehicle charging stations and prepaid consumers who opted for prepaid tariffs. Incremental Consumption Package users will also face the higher charge.

Power generation in January rose 12 percent year-on-year to 9,140 gigawatt-hours (GWh), costing Rs106.36 billion at an average Rs11.64 per unit. After adjustments, the net delivered cost stood at Rs12.1768 per unit. Officials said January recorded the highest-ever demand for the month in both average generation and peak load, forcing the dispatch of costly residual fuel oil (RFO) plants during peak hours.

RLNG-based plants were the largest contributor, producing 2,002 GWh, about 22 percent of total output, at a steep Rs19.93 per unit. In contrast, nuclear power generated 1,599 GWh at Rs2.24 per unit. Imported coal plants produced 1,580 GWh at Rs13.49 per unit, while local coal contributed 1,404 GWh at Rs11.62 per unit. Hydropower generation fell 18pc year-on-year to 713 GWh, tightening the supply mix and increasing reliance on expensive fuels. Wind, bagasse and solar accounted for only a minor share of total generation.