Electricity tariff likely to drop further

Electricity tariffs are expected to drop further under the upcoming monthly and quarterly adjustments in the country.

Reports indicate that the March monthly adjustment could reduce electricity prices by 3 paisas per unit, while the quarterly adjustment is projected to cut rates by over Rs1 per unit.

Overall, the quarterly adjustment is anticipated to deliver relief amounting to approximately Rs51.49 billion.

A formal petition regarding the third-quarter adjustment for the fiscal year 2024–2025 has already been filed. NEPRA (National Electric Power Regulatory Authority) is scheduled to hold a hearing tomorrow to review the proposed monthly and quarterly changes.

According to the petition, 8.409 billion units of electricity were generated in March at a cost of Rs9.22 per unit, compared to the reference price of Rs9.25 per unit for that month.

Additionally, the quarterly adjustment includes a proposed reduction of Rs47.124 billion under capacity charges.

Earlier, due to the Fuel Charge Adjustment (FCA), NEPRA had slashed electricity rates by up to Rs3 per unit in March. Notifications revealed that customers of government-owned DISCOs benefited from a Rs2.12 per unit reduction, while K-Electric users enjoyed a Rs3 per unit cut.

Consumers saw the effects of these lower rates reflected in their March 2025 electricity bills. Refunds were also processed, with KE customers receiving them in December 2024 and DISCOs customers in January 2025.