CPPA proposes Rs 1.04 per unit reduction in electricity tariffs for THIS month!

ISLAMABAD: The Central Power Purchasing Agency (CPPA) has proposed a reduction of Rs 1.04 per unit in electricity tariffs under the December fuel price adjustment. The proposal, submitted to the National Electric Power Regulatory Authority (NEPRA), aims to pass on the benefits of reduced dependence on imported fuel to consumers.

If approved, the reduction will provide significant financial relief to consumers of distribution companies (DISCOs) to the tune of about Rs 3.90 billion. The adjustment is expected to be reflected in the electricity bills issued in February. Nepra will review the proposal during a hearing on January 30.

The CPPA’s move highlights the importance of using domestic energy resources for low-cost generation. By reducing dependence on power plants that rely on expensive imported fuel, the agency has taken a step towards making electricity more affordable for the public.

Federal Minister Rana Tanveer Hussain also expressed hope for a further reduction in electricity tariffs. Speaking at the Lahore Chamber of Commerce and Industry, he praised Prime Minister Shehbaz Sharif’s administration for implementing effective reforms in the energy sector, saying that measures that normally take years to complete have been achieved in a very short time. He slammed the previous Pakistan Tehreek-e-Insaf (PTI)-led government for policies that he claimed had damaged the economy. The minister assured the public of the government’s commitment to lead the country towards economic stability and prosperity.

The final decision on the proposed reduction now rests with NEPRA, which will carefully review the application and supporting data. If approved, the adjustment could provide much-needed relief to electricity consumers across the country.