Electricity prices likely to drop in Pakistan

ISLAMABAD: It is expected that the price of electricity in Pakistan will come down by 72 paisa per unit because of the fuel adjustment mechanism.

This is because the National Electric Power Regulatory Authority would consider a petition filed by the Central Power Purchasing Agency today.

As reported by CPPA, distribution firms have been provided with an average of 7.813 billion units of electricity during November, with the average unit cost of generation at Rs. 6.16. This is expected to be reduced by Rs 1.33.

The fuel sources in November were distributed in the following way: Hydropower sources contributed 39.16 percent to electricity generation, followed by nuclear fuel at 25.23 percent.

Local coal sources contributed 9.34 percent, whilst the percentages from imported coal, gas, and imports of LNG were 5.06 percent, 8.44 percent, and finally 8.64 percent.

If approved by NEPRA, this will come as a relief to consumers, who are already paying high electricity bills.