Nepra Approves Three-Month Power Tariff Hike to Recover Rs8.67 Billion

Islamabad, Wednesday, March 4, 2026: The National Electric Power Regulatory Authority (Nepra) has approved a temporary increase in electricity tariffs for three months. The decision will allow power companies to recover Rs8.67 billion from consumers between March and May under quarterly adjustments for the second quarter of FY25-26.

According to the determination issued on Tuesday, Nepra allowed a uniform increase of Rs0.35 per unit. The exact adjustment stands at Rs0.3504 per kilowatt-hour. The hike will apply to most consumer categories across the country.

However, lifeline consumers, those billed under the incremental consumption package, and prepaid users have been exempted. The increase will also apply to consumers of K-Electric.

Why the Tariff Is Increasing

Nepra said the adjustment is based on several financial factors. These include changes in capacity charges, variable operations and maintenance (O&M) costs, and use of system charges.

The regulator also included the impact of fuel cost adjustments on transmission and distribution losses. Recovery of pending payments from previous periods during October to December was also part of the calculation.

Companies Asked for More

The former Wapda distribution companies, known as XWdiscos, had requested permission to recover Rs10.83 billion for the same quarter.

They claimed Rs24.24 billion under capacity charges. However, this amount was partly reduced due to negative adjustments worth Rs13.41 billion. These adjustments were linked to O&M costs, system charges, market operator fees, transmission and distribution losses, and the incremental consumption package relief.

After reviewing all figures, Nepra reduced the recovery amount to Rs8.67 billion instead of the requested Rs10.83 billion.

Relief for Some Consumers

Officials said the burden will not fall on the poorest electricity users. Lifeline customers and certain protected categories will not be affected by this increase.

The tariff hike will remain in effect from March to May. After that, new quarterly adjustments may be reviewed depending on financial data.

Consumers are advised to check their upcoming electricity bills carefully to understand the revised charges.