- July 30, 2026
- Posted by: Tresmark
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The National Electric Power Regulatory Authority (Nepra) has said there has been no "real improvement" in the performance of power distribution companies (Discos), questioning claims that losses have declined and suggesting they have instead been shifted to high-theft areas.
The remarks came during a public hearing on the Fuel Charges Adjustment (FCA) for June 2026, where Nepra Member (Development) Maqsood Anwar Khan challenged the Power Planning and Monitoring Company’s (PPMC) assessment that Discos' performance had improved during FY2025-26.
The Central Power Purchasing Agency-Guarantee (CPPA-G) has requested a PKR 1.20 per kWh positive FCA for June 2026 to recover PKR 15.68 billion from consumers of Discos and K-Electric. As consumers have already paid PKR 0.34 per kWh in July, the net increase of PKR 0.86 per kWh would be reflected in August electricity bills if approved.
Nepra also questioned the reported 3.3% decline in electricity consumption in June, rejecting the explanation that it resulted from Eid holidays and cooler weather. The regulator argued that prolonged power outages and extensive load shedding in high-loss areas had suppressed electricity demand and triggered public protests.
During the hearing, PPMC revealed that the government is preparing another package of lower electricity tariffs aimed at encouraging higher power consumption, which will be submitted to Nepra after receiving the required approvals.
The regulator also expressed concern over transmission bottlenecks preventing cheaper electricity generated in southern Pakistan from reaching northern regions, while highlighting that the 969 MW Neelum-Jhelum Hydropower Project and the 747 MW Guddu Combined Cycle power plant remain out of service.
Industry representatives warned that the combined impact of the Quarterly Tariff Adjustment (QTA) and FCA could increase industrial electricity tariffs by PKR 2.5–3 per unit, although PPMC maintained that industrial tariffs in August would still remain below levels seen before the recent Middle East conflict.
Nepra Chairman Waseem Mukhtar directed officials to study ways to reduce the financial burden of power plants operating in start-up mode and sought a timeline for resolving transmission constraints.
