A key hearing regarding changes in electricity tariffs and fixed charges has concluded at the National Electric Power Regulatory Authority (NEPRA). Officials said the final decision will be issued after reviewing data and financial impacts.
Industry Tariff Relief Expected
According to the Power Division, if approved, the proposal will reduce the industrial electricity tariff by Rs. 4.04 per unit. For the first time, the Rs. 101 billion cross-subsidy burden currently placed on industries during the billing cycle would be reduced to zero.
Officials emphasized the need for a “cost-to-customer” approach, ensuring each sector bears its actual energy cost.
Fixed Charges Adjustment
Authorities shared that fixed charges are being adjusted from 7% to 10% under the new framework. The government believes tariff reduction is necessary to keep industrial activity competitive, as Pakistan’s industrial electricity rates are currently among the highest in the region.
New Industrial Rates After Restructuring
Following tariff restructuring:
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Industrial rates may fall to around 11.5 cents per unit
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With a three-year incentive package, the rate could drop further to 10.5 cents per unit
