CPPA seeks 82 paisa per unit electricity price hike

KARACHI: The Central Power Purchasing Agency (CPPA) has submitted an application to the National Electric Power Regulatory Authority (Nepra) to increase the price of electricity by 82 paisa per unit.

The application has been submitted by CPPA in the form of a monthly fuel price adjustment for May, on which the Nepra authority will hear tomorrow.

During the hearing, the data included in the application, the cost of electricity generation, fuel consumption, and possible impact on consumers will be reviewed.

If the application is approved, there is a possibility of an additional financial burden of about Rs 12 billion on electricity consumers.

According to CPPA, a total of 12 billion 638 million units of electricity were generated during May. The average fuel cost of electricity in May was Rs 9.25 per unit, while the estimated fuel cost per unit for this month was Rs 8.43.

According to officials, additional collection has been requested from consumers due to the difference in production costs.

According to the data, during May, 33.27 percent of electricity was generated from hydropower, 11.66 percent from local coal, 13.54 percent from imported coal, 0.16 percent from furnace oil, while 8.31 percent of electricity was obtained from local gas.

Nepra officials will issue a decision after reviewing the request in detail. In case of approval, the additional amount can be collected in the future bills of consumers.