CPPA seeks NEPRA approval for Nov fuel charge refund; hearing scheduled for Dec 31
Prior approval to NEPRA K-electric consumer may seen a huge relief over electricity bills. PHOTO: FILE
ISLAMABAD:
Power consumers may enjoy a relief in their upcoming electricity bills following a reduction of up to Rs0.71 per unit in tariff on account of fuel adjustment charges for November 2025. The expected relief, which will materialise in the bills issued for January 2026, comes after the Central Power Purchasing Agency (CPPA) formally petitioned the National Electric Power Regulatory Authority (NEPRA), stating that distribution companies were prepared to refund Rs0.7182 per unit to consumers due to what it described as overcharging during November.
In its petition submitted on behalf of ex-Wapda distribution companies (Discos) as well as K-Electric, the CPPA explained that the reference fuel charges for November had been set at Rs6.88 per unit. However, the actual cost of power generation during the month averaged significantly lower at Rs6.162 per unit, which created a measurable difference between projected and actual costs. The agency has therefore sought NEPRA’s approval to return the excess amount of Rs0.7182 per unit that had been charged through the fuel cost adjustment mechanism.
According to the detailed data provided by the CPPA-G, total power generation in November amounted to 8,050 gigawatt hours (GWh), producing electricity at a cumulative cost of Rs50.09 billion, which translated into an average generation cost of Rs6.22 per unit. After incorporating factors such as transmission losses, the sale of electricity to independent power producers and a range of prior financial adjustments, the total net supply delivered to Discos was recorded at 7,813 GWh at an overall cost of Rs48.14 billion, or Rs6.162 per unit. The petition also noted that the sale price to Discos included an additional Rs0.037 per unit on account of earlier adjustments that had already been factored into the billing process.
Hydropower emerged as the single largest contributor to the national grid in November, producing 3,153 GWh and accounting for 39.16%of the country’s total energy mix. It was followed by nuclear power, which generated 2,031 GWh (equivalent to 25.23% of the mix) at Rs2.2706 per unit. RLNG-based plants produced 696 GWh, representing 8.64% of the total, at Rs21.5789 per unit.
Local coal contributed 752 GWh (9.34%at Rs17.767 per unit, while imported coal added 407 GWh (5.06%) at Rs14.135 per unit. Pakistan also imported 35 GWh from Iran at Rs22.5729 per unit.
Indigenous gas supplied 680 GWh, or 8.44% of the mix, at Rs14.3396 per unit, while no electricity was produced from either residual fuel oil or high-speed diesel during the month. Wind power contributed 136 GWh, bagasse-based plants supplied 75 GWh at Rs10.84 per unit, and solar power generated 86 GWh.
NEPRA has scheduled a public hearing for December 31 to review the petition. Under federal policy guidelines, any approved FCA adjustment for ex-WAPDA Discos will also apply to K-Electric customers to ensure uniformity across all distribution companies.
