Reduction Of Rs0.3 Per Unit Likely In Electricity Under FCA, DISCOs

Abdullah Hussain (@Abdulla99267510) Published April 29, 2025 | 05:52 PM

CPPA says negative adjustment will provide a relief of Rs250 million to consumers

ISLAMABAD: (UrduPoint/UrduPoint / Pakistan Point News-April 29^th, 2025) A reduction of Rs0.3 per unit in electricity prices is expected under the monthly fuel charges adjustment (FCA) as DISCOs submitted a request, which was heard by the NEPRA.

The NEPRA held a hearing on the DISCOs’ request to reduce electricity prices. During the hearing, the case officer stated that 8.409 billion units of electricity were generated in March.

According to DISCOs, the cost of electricity in March was Rs9.22 per unit while the reference cost was Rs9.25 per unit.

The CPPA stated that the negative adjustment would provide a relief of Rs. 250 million to consumers. There was only a slight change in the energy mix in March, with 3% less generation from hydropower compared to the reference.

NTDC officials said that overall electricity generation in March was 8% lower than the reference and 4.6% less than the same period last year. The peak electricity generation in March was recorded at 16,673 MW.

They further stated that in March last year, the peak generation was 15,164 MW. The minimum electricity generation in March this year was 6,106 MW, compared to 7,094 MW in March last year.

The impact of the Neelum-Jhelum power plant on this difference is yet to be determined. The system constraints caused a financial loss of Rs622 million.

The hearing was later concluded. NEPRA said the authority has carefully heard all relevant stakeholders and will issue a detailed decision after further scrutiny of the data.

NEPRA noted that the CPPA-G submitted a request for a Rs0.3 per unit reduction under FCA. CPPA-G has been requesting FCA reductions consistently for the past nine months. The reduction would apply to all DISCO consumers except lifeline, protected, pre-paid consumers and electric vehicle charging stations.

It would also not apply to K-Electric consumers.