ISLAMABAD – The National Electric Power Regulatory Authority (NEPRA) has allowed distribution companies to charge Rs2.83 per unit extra to consumers for May 2024 as part of fuel cost adjustment (FCA).
According to the notification issued by NEPRA on Wednesday, the adjustment will be shown separately in consumers’ bills based on units billed in March 2024. The tariff hike will be applicable to all the consumer categories except Electric Vehicle Charging Stations (EVCS), K-Electric and lifeline consumers.
The proposed adjustment for March 2024 may be due to higher domestic coal and gas prices as imported fuels like coal, diesel and furnace oil was not used for electricity generation.
In March, NEPRA allowed Rs2.75 per unit increase in electricity tariff as quarterly adjustment for the second quarter for the fiscal year. Last month, the government had sought clearance from NEPRA to recover Rs23 billion from consumers as FCA for electricity consumed in March.
The Power Division had demanded Rs2.94 per unit additional fuel cost to recover from consumers through May bills. It was much higher than the pre-fixed fuel cost already charged to the consumers in March. Recently, the additional FCAs were up to 115 per cent higher than the pre-determined fuel costs notified at the start of fiscal year.
